Crypto platform Zipmex files for bankruptcy protection in Singapore
SOUTH-EAST Asia-focused cryptocurrency exchange Zipmex said it had filed for bankruptcy protection in Singapore, becoming the latest victim of the global downturn in digital currencies.
Singapore-based Zipmex resumed withdrawals last week, a day after suspending them on July 20, and said it was working to address its exposure of US$53 million to crypto lenders Babel Finance and Celsius.
Zipmex’s solicitors submitted five applications on July 22 seeking moratoriums to prohibit legal proceedings against Zipmex for up to six months, the cryptocurrency exchange said https: bit.ly/3zEMmKD on Wednesday (Jul 27).
Under Singapore law, such a filing grants companies an automatic moratorium for 30 days, or until a Singapore Court makes a decision on the application, whichever is earlier.
Zipmex, which operates in Singapore, Thailand, Indonesia and Australia according to its website, is the latest in a string of crypto players globally to run into difficulties following a sharp sell off in markets that started in May with the collapse of two paired tokens, Luna and TerraUSD.
Thailand’s Securities and Exchange Commission said on Monday it was working with law enforcement to look into potential losses among the public after Zipmex temporarily suspended withdrawals.
A NEWSLETTER FOR YOU
Garage
The hottest news on all things startup and tech to kickstart your week.
Singapore’s ambitious cryptocurrency sector, by some measures Asia-Pacific’s largest, has also been shaken by the recent collapse of crypto fund Three Arrows Capital. REUTERS
KEYWORDS IN THIS ARTICLE
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Startups
A cheat sheet of startup and tech M&As in South-east Asia
Zilingo ex-CEO’s criminal complaint is retaliation against whistleblowers: source
Gojek and ComfortDelGro Taxi to send untaken rides to each other’s platforms
SG fintech firm Bambu shuts down after missing profit targets, says founder
Telemedicine platforms evolve beyond virtual consultations
Funding concentration seen in emerging tech startups: SGInnovate report