The Thai cryptocurrency exchange Zipmex filed for court protection from creditors in Singapore. The moratorium will automatically take effect for 30 days, under Singaporean law.
On July 22, Morgan Lewis Stamford filed five related applications on behalf of several entities linked to the exchange.
Top management intends to obtain an extension of the moratorium for up to six months to prevent creditor lawsuits. The same step was taken by the leadership of the crypto-lending platform Vauld (debt stands at $402 million).
The platform faced a liquidity crunch after problems at partners Babel Finance and Celsius Network. Their obligations amount to $5 million and $48 million, respectively.
“The moratoriums will give Zipmex Group a breathing space and the time needed to explore settlement options, including the return of funds from Babel Finance. It is also necessary to develop a restructuring plan and attract additional investments,” the company said.
Representatives of the exchange said there is interest from unnamed parties in potential investments. They added that negotiations are at an \”advanced stage\”.
The platform partially resumed deposits and withdrawals several days later.
Earlier, Kaiko allowed bankruptcy of some cryptocurrency exchanges due to adverse market conditions, declining client activity and problems among several industry participants.
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