Singapore-based crypto lender Vauld has suspended all trading, withdrawals and deposits on its platform amid the crypto downturn.
Today, in a blog post, the company announced that it is exploring restructuring options to navigate the challenges of the descending crypto market. “We are facing financial challenges despite our best efforts”, it read.
“The current market climate has led to a significant amount of customer withdrawals in excess of $197.7m since 12 June 2022. Due to a combination of circumstances such as the volatile market conditions, the financial difficulties of our key business partners inevitably affecting”, it added.
Alongside withdrawals, Vauld will be slowing down hiring efforts, reducing marketing expenses and executive compensation by 50%, plus, pausing most vendor engagements.
This move comes shortly after it became the next in line to let go of a portion of its staff members. Last month, Vauld said goodbye to 30% of its workforce, with most of those affected residing in India.
It hasn’t been easy for the company, in a June 21 statement, CEO and co-founder, Darshan Bathija said: “One of the most difficult days for Vauld and myself since we decided to reduce our headcount by about 30%. This is not a decision we take lightly but given the economic slowdown, we concluded that this was the right course of action.”
The crypto market has seen excessive cuts to its staff worldwide, companies including Gemini, Coinbase, and BitOasis have all reduced their employees over the last few months with an aim to take a firm grip amid a ‘crypto winter’.
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