U.S. crypto payment company Wyre has announced it is shutting down after ten years of operation due to the harsh bear market conditions.
After nearly a decade, Wyre is winding down. Due to market conditions, we made this decision to protect the best interest of our key stakeholders and customers. This decision is not due to any regulatory agency direction. Wyre continues to secure customer assets.
— Wyre (@sendwyre) June 16, 2023
According to the statement, the firm has made “a difficult decision to protect key stakeholders and customers.”
Users will be able to freely withdraw funds from the platform until July 14. After this date, a special redemption process will start.
The Wyre team also noted that the service’s assets are up for sale. Business proposals will be considered by 88 Partners.
The platform was on the brink of bankruptcy after fintech company Bolt terminated a $1.5 billion takeover deal in September 2022.
On January 7, 2023, Wyre limited withdrawals by introducing a limit of 90% of the deposit. According to media reports, co-founder and CEO Ioannis Giannaros warned employees about a possible closure of the business. The firm later lifted the restrictions, revealing funding from an unnamed “strategic partner”.
Recall that in June, the investment bank Cowen announced the closure of the crypto division a year after the launch.
The same month, Banq, the payments subsidiary of crypto custodian Prime Trust, filed for bankruptcy. The firm reported ~$17.7 million in assets with a total liability of ~$5.45 million.
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