Investors and various crypto platforms continue to take hits as the crypto winter continues. The latest victims are Nuri, a German crypto exchange, and Africa-based CoinFlex.
Nuri GmbH, one of Germany’s leading cryptocurrency exchanges, has filed for bankruptcy with a Berlin court. The company made this announcement on Tuesday, August 9, 2022, following tremulous months of operation.
According to the exchange, "Due to the current challenging market developments and subsequent effects on financial markets on Nuri’s business development, we have filed for insolvency."
However, the company is reassuring customers that the temporary insolvency proceedings will not affect their deposits, cryptocurrency funds, and Nuri Pot investments which they high the exchange.
Nuri said customers would continue to have "guaranteed access" to deposits and withdrawals at any time.
Celsius's insolvency, Terra's collapse, and other major crypto platforms are some of the negative developments highlighted by the exchange that led to its bankruptcy.
They also cited fiscal pressures caused by the economic and political uncertainties of the war in Ukraine as the reason for the decision.
On the other hand, CoinFlex, another crypto exchange, has allegedly filed for restructuring in a Seychelles court. According to Bloomberg, the corporation informed clients about the restructuring process via email.
According to the Chief Executive Officer of CoinFlex, Mark Lamb, “We look forward to welcoming a new group of shareholders to CoinFLEX and are glad to be in a jurisdiction where we can quickly resolve this situation and return maximum value to depositors.”
The filling decision by CoinFlex comes as the exchange strives to resolve a shortfall due to a counterpart's failure to make a margin call.
The exchange allegedly paused withdrawals in late June and then disclosed a proposal to tokenize the debt of a "high integrity" individual to raise USD 47m.
Mark Lamb alleged in a series of tweets that the individual whose account slid into negative equity during recent market turbulence is Bitcoin Cash (BCH) proponent Roger Ver. Ver, conversely, refuted the allegations, claiming that a counterparty owes him "a large sum of money."
