Crypto exchange Zipmex announced in a Twitter post that it has put customer withdrawals on hold “until further notice.” The Singapore-based firm attributed the move to external factors such as “volatile market conditions and the resulting financial difficulties of key business partners.”
Zipmex CEO Marcus Lim / Photo credit: Zipmex
This news comes after Coinbase said in June that it would be making strategic investments in Zipmex. The US crypto giant initially sought to acquire Zipmex following a term-sheet signing, but ultimately decided otherwise.
In March, Zipmex closed its US$52 million series B fundraise and made plans to further expand across Southeast Asia.
Zipmex was founded in 2018 by its current CEO, Marcus Lim. With branches in Singapore, Thailand, Indonesia, and Australia, the company claims to have a user base of nearly 2 million.
The Terra crash in May affected the entire crypto industry and left many firms struggling. Three Arrows Capital, a crypto hedge fund based in Singapore, has recently been liquidated, while Coinbase-backed lender Vauld is in serious debt after suspending user withdrawals.
See also: A who’s who of projects facing frostbite in the crypto winter (Updated)
Editing by Samreen Ahmad and Eileen C. Ang
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