According to Juno’s tweet, “We strongly recommend withdrawing crypto assets to your self-custody wallet or selling your crypto for cash in your Juno checking account which is FDIC Insured up to $250,000 via our partner bank.”
Crypto bank Juno has asked clients to withdraw their assets from its platform after facing issues with its current custodian, Wyre. The total assets held on Juno’s platform have dipped below the $1.25M threshold after the announcement.
On January 4, an email from Wyre’s CEO said the firm will scale back operations in the coming weeks. The company has faced financial difficulties after Bolt pulled out of the $1.5B deal for acquiring Wyre in September 2022.
In a recent tweet, Juno clarified that it relies on a “crypto partner” to store users’ assets. Juno stated that the crypto bank will migrate users’ assets to a new custodian. In the meantime, Juno advised users to either sell their assets or hold them in self-custodial wallets.
The crypto bank has disabled the crypto purchase facility on its platform. Furthermore, it has auto-converted users’ USD Coin (USDC), Tether (USDT), and mUSDC assets to US Dollars (USD), with plans to refund the fees incurred by these transactions. However, Juno’s banking and card-based services will remain unaffected.
