Hodlnaut halts customer withdrawals and stopped all social media post

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Last Updated on August 9, 2022 by Bitfinsider

As the industry struggles to survive in the wake of a slump in the price of cryptocurrencies, Hodlnaut halted providing exchange services on its platform on Monday, citing a liquidity difficulty and the need to discuss a recovery strategy with a legal advice firm.

The lender reportedly stopped withdrawals, token swaps, and deposits on Monday because to concerns about liquidity. “We would like to reassure you that this painful choice was taken for us to focus on stabilizing our liquidity and protecting assets,” the company said in an attempt to convince customers that it was striving to find the best solution to protect their long-term interests.

In April 2019, the Singapore-based cryptocurrency business started acting as a lender enabling clients to borrow digital assets. Users can earn up to 7.25 percent on their investments using the service’s yield-earning feature, which is another option it offers. Hodlnaut’s incentive system worked by letting people lend money to ostensibly reputable organizations and companies.

In addition, Hodlnaut stated that it had withdrawn its application for a digital payment token (DPT) license from the Monetary Authority of Singapore, indicating that it has no plans to carry on with business and will presumably file for bankruptcy. The business also limited its social media presence to email, Twitter, and Telegram in order to “consolidate its efforts and offer correct information swiftly.”

Hodlnaut’s CEO, Juntao Zhu, set his Twitter account to private and r/hodlnaut is also set to private.

The ailing site disclosed that, in the interim, it is closely collaborating on a recovery strategy with Singaporean law firm Damodara Ong LLC. Customers will receive platform updates on Friday, August 19, 2022.

Users are allowed to access their balances and accounts, but withdrawals are disabled. According to Hodlnaut, users will continue to receive interest payments every Monday until further notice. The lender altered everyone’s interest payout settings to “in-kind” after making the announcement.


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Disclaimer: The views and opinions expressed by the author, or any people mentioned in this article, are for informational purposes only, and they do not constitute financial, investment, legal, tax or other advice. Investing in or trading cryptocurrency or stocks comes with a risk of financial loss.


Hardware wallets are safe and secure devices that can be used offline. They keep your cryptocurrency offline, making it impossible for you to be hacked. To find out more on the leading hardware wallets, you may view our reviews here: Ledger & Trezor
Disclaimer: The views and opinions expressed by the author, or any people mentioned in this article, are for informational purposes only, and they do not constitute financial, investment, legal, tax or other advice. Investing in or trading cryptocurrency or stocks comes with a risk of financial loss.

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