Hodlnaut, a Singapore-based crypto exchange, has halted its operations due to current market conditions.
Photo credit: Hodlnaut
The exchange said the move will allow it to focus on stabilizing liquidity and preserving assets while working toward a solution on its current situation.
Founded in April 2019 by Juntao Zhu and Simon Lee, the firm received approval from the Monetary Authority of Singapore (MAS) for a major payment institution license in March. However, it was also exposed to the collapse of the Terra blockchain protocol in May, and over US$187 million of its assets may have been exposed to the crash.
Withdrawals, token swaps, and deposits were all suspended, but users were assured that their accounts can still be accessed and any funds will still have the interest earned paid out. The firm has also halted all of its borrowing and lending services.
In addition, Hodlnaut announced that it will be withdrawing its application to the MAS for a regulated digital payment token services license.
The firm promised an update on August 19 that aims to address all user queries.
Hodlnaut is the latest firm to be affected by the adverse conditions of the crypto winter, following names such as Three Arrows Capital, Babel Finance, and Celsius.
See also: A who’s who of projects facing frostbite in the crypto winter
Editing by Miguel Cordon and Lorenzo Kyle Subido
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