Crypto exchange Zipmex pauses withdrawals until further notice

Singapore-headquartered crypto exchange Zipmex has announced to pause withdrawals until further notice, becoming another crypto company to bear the brunt of volatile market conditions. The digital assets exchange has operations in Singapore, Australia, Indonesia and Thailand.

In a tweet late on Wednesday, Zipmex said that due to a combination of circumstances “beyond our control including volatile market conditions, and the resulting financial difficulties of our key business partners, to maintain the integrity of our platform, we would be pausing withdrawals until further notice”.

Zipmex’s goal last year was to become the largest digital exchange in the Asia Pacific region. In its last reported figure, Zipmex had transacted over $600 million in gross transaction volume since launching at the end of 2019. Crypto unicorn Babel suspended withdrawals in June, while one of the largest crypto lenders Celsius filed for bankruptcy this month.

Vauld, another Singapore-based crypto platform, has also suspended withdrawals, trading and deposits. Several crypto platforms and exchanges have laid off employees as the global crypto market goes through a meltdown.

Last week, non-fungible token (NFT) marketplace OpenSea’s co-founder and CEO Devin Finzer announced that the platform is laying off about 20 per cent of its total employees.

The Singapore-based 3AC filed for bankruptcy in the US earlier this month to protect its assets from creditors. 3AC defaulted on a more than $650 million loan provided by crypto broker Voyager Digital, which has also filed for bankruptcy.

Singapore-based cryptocurrency exchange Bybit has laid off 2,000 employees while global crypto exchanges and firms including Coinbase (NASDAQ:COIN), Gemini, and others announced to downsize their workforce.