Cryptocurrency exchange Zipmex has halted withdrawals due to “volatile market conditions, and the resulting financial difficulties of our key business partners.” The exchange operates in Singapore, Australia, Indonesia, and Thailand.
Zipmex Withdrawals
Zipmex is a crypto exchange that operates in Singapore. The platform described itself as “Asia’s leading digital asset exchange providing you high liquidity and insurance on your assets.”
On Wednesday, Zipmex announced via Twitter that “due to a combination of circumstances beyond our control including volatile market conditions, and the resulting financial difficulties of our key business partners … we would be pausing withdrawals until further notice.”
Zipmex’s Zipup+ service offers cryptocurrency rewards up to 10% per year, according to their website. There are five levels of VIP in the program. You can earn up to 10% with VIP 4. The VIP basic level is a 6% rate. VIP 4 is the most expensive. “Make your crypto work hard, so you can live easy. Zipmex allows you to earn up to 12 percent APY when you make a deposit. Flexible terms. No minimums,” Zipmex wrote.
In August last year, the company raised $41 million with participation from the Bank of Ayudhya (Krungsri), one of Thailand’s largest banks. Zipmex, which was launching the Zipmex card in the same month announced its partnership with Visa.
Zipmex, a Thailand-licensed cryptocurrency exchange and digital token trading platform is licensed by the government. To provide services such as digital payment token (DPT), the platform has not been registered in Singapore.
“The Monetary Authority of Singapore (‘MAS’) requires us to provide this risk warning to you as a customer of Zipmex. Before you pay Zipmex any money or DPT, you must be aware of the following,” Zipmex disclosed on its website, warning:
MAS does not license Zipmex at the moment to provide DPT service. This means that you will not be able to recover all the money or DPTs you paid to Zipmex if Zipmex’s business fails.
Voyager Digital, a crypto lender Celsius Network, and Voyager Digital both stopped withdrawals this month. They then filed for bankruptcy protection. Babel Finance, which was affected by troubles at Three Arrows Capital (Crypto Hedge Fund) in June, also stopped withdrawals.
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