Aditya Hadi Pratama · · 1 min readCoinbase-backed Vauld files for 6-month moratorium amid growing liabilities
Vauld, a Singapore-based crypto platform, has filed an application for a moratorium in local courts. If approved, it will prohibit any order or resolution to wind up the firm and the continuation of any proceedings against it for six months.
Vauld co-founder and CEO Darshan Bathija / Photo credit: Vauld
The company disclosed that it currently has US$330 million in assets and US$400 million in liabilities. The mismatch is mainly due to losses on Bitcoin, Ether, and Polygon trades, as well as exposure to Terra’s failed stablecoin UST.
In a statement, the moratorium will give the management breathing space to restructure for the benefit of all of Vauld’s stakeholders. The firm is also still in acquisition talks with London-based crypto firm Nexo.
The development follows Vauld announcing a suspension of withdrawals, trades, and deposits earlier this month, citing financial challenges.
Founded by Darshan Bathija and Sanju Sony Kurian in 2018, Vauld is a platform where users can grow their wealth through lending and trading cryptocurrencies. In July last year, it raised US$25 million in a series A funding round led by Peter Thiel’s Valar Ventures, with participation from Pantera Capital, Coinbase Ventures, and Gumi Cryptos.
See also: First Luna, now Celsius. What’s behind the latest crypto crisis?
Editing by Miguel Cordon and Lorenzo Kyle Subido
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