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Zipmex resumes withdrawals for altcoins

Crypto Exchange Zipmex Suspends Withdrawals To Cushion Market Volatility
Crypto Exchange Zipmex Suspends Withdrawals To Cushion Market Volatility

Crypto exchange, Zipmex has resumed withdrawals for altcoins on its platform. According to an announcement made by the company today, Zipmex now allows withdrawal of altcoin after suspending it due to the struggles of Celsius and Babel Finance. 

Zipmex began releasing unaffected virtual assets from its Z wallet yesterday. The exact process also took place for Solana, while others like Ripple and Cardano will be processed by the 4th and 9th of this month.

The crypto exchange suspended withdrawal on its platform late last month. The suspension manifested after Zipmex met with Babel on the situation. The aftermath of the meeting ushered in the reality that the lost assets could not be recovered. Consequently, Zipmex initiated the suspension of withdrawal. 

The suspension underlines the difficult phrase the crypto space endured in recent times. The industry witnessed a series of crises that resulted in the liquidation of some firms, the collapse of projects, and price dips. Gradually, the market is bouncing back to its feet as major tokens are regaining their losses.

Meanwhile, Zipmex reported the issues with Babel finance to the Thailand Securities and Exchange Commission. In reaction, the SEC requested that affected customers report their losses’ severity via a public platform. Further, the SEC queried Zipmex on the volume of users’ assets under its custody. 

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In reaction, the crypto exchange submitted that consulting the SEC has nothing to do with bankruptcy issues. Instead, it filled for a moratorium with a court base in Singapore. As revealed, the moratorium will aid the firm in settling the crisis without much pressure and without affecting its day-to-day activities. Lastly, Zipmex promised to stay in touch with affected users as the situation unfolds.

Additionally, the crypto exchange negotiates with Babel Finance to recover its assets. As disclosed, there’s a memorandum of understanding between Zipmex and other investors. To further encourage other investors, an anonymous shareholder of Zipmex has invested in the exchange’s native token. Zipmex made it known that the development of the coin is in progress.

However, the Crisis of Celsius attained a new dimension after a part of its customer base approached a court. As disclosed, some of the firm’s 1.7 million customers accused it of duping them of their hard-earned investment. The customers are presently begging the Southern District of New York to ensure they get their money back. 

One of the customers, Christian Ostheimer, wrote a letter included in the court exhibit. The customer revealed that he trusted Celsius with his life savings. The firm’s struggles have cost him about $30,000, and he’s currently battling tax issues. 

The crisis of both Babel Finance and Celsius has baptized users with debts. There are concerns if the two firms are willing to refund users; questions also emanated on how or who the firm will refund first.

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