Chocolate Finance halts instant withdrawals following a run, but customer money not at risk: CEO
It is a ‘matter of managing increased transaction volumes’, adds financial services platform
[SINGAPORE] Financial services firm Chocolate Finance sought to reassure investors about its liquidity position as investors raised the alarm when it temporarily suspended instant withdrawals due to “high demand”.
A notice on its mobile app on Monday (Mar 10) that the platform was experiencing an unusually high volume of withdrawal requests quickly went viral among the online community.
Chocolate Finance launched to much fanfare last July, offering a return of up to 4.2 per cent for the first S$20,000, just as rates on the popular Treasury bills (T-bills) were dropping. The platform’s latest rate is now 3.3 per cent, which is still higher than the T-bills rate.
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