{"id":65180,"date":"2022-08-01T16:11:53","date_gmt":"2022-08-01T13:11:53","guid":{"rendered":"https:\/\/forklog.com\/en\/?p=65180"},"modified":"2025-09-06T18:33:47","modified_gmt":"2025-09-06T15:33:47","slug":"vauld-wins-temporary-creditor-protection","status":"publish","type":"post","link":"https:\/\/forklog.com\/en\/vauld-wins-temporary-creditor-protection\/","title":{"rendered":"Vauld wins temporary creditor protection"},"content":{"rendered":"<p>The High Court of Singapore granted the crypto-lending platform Vauld a moratorium on proceedings until 7 November 2022, instead of the six months requested. <a href=\"https:\/\/www.bloomberg.com\/news\/articles\/2022-08-01\/singapore-grants-vauld-parent-three-month-creditor-protection#xj4y7vzkg\">Bloomberg<\/a> reports.<\/p>\n<p>Under the ruling, 147,000 creditors will be unable to file suits against the company. The court did not preclude extending the period depending on Vauld\u2019s progress in addressing the problems.<\/p>\n<p>The platform must provide creditors within two weeks with cash-flow data and asset valuations. Within eight weeks, information on account management.<\/p>\n<p>On 4 July, the crypto-lending platform <a href=\"https:\/\/forklog.com\/en\/news\/peter-thiel-backed-crypto-lending-platform-vauld-suspends-operations\">announced a suspension of operations<\/a> and potential restructuring due to financial difficulties. The next day it emerged that rival <a href=\"https:\/\/forklog.news\/smi-nexo-dogovorilsya-o-priobretenii-kriptolendingovoj-platformy-vauld\/\">Nexo signed a preliminary agreement to acquire Vauld<\/a>.<\/p>\n<p>Subsequently, media citing court documents found that Vauld&#8217;s outstanding debt after these events <a href=\"https:\/\/forklog.com\/en\/news\/media-vauld-crypto-lending-platform-owes-402-million-to-creditors\">stood at $402 million<\/a>. Of these, $363 million went to retail investors. The firm did not repay $34 million to one of them, and more than $10 million to three others.<\/p>\n<p>The platform&#8217;s problems began with the collapse of Terra \u2014 the equivalent of $28 million it held in staking UST. The next blow came from the overall crypto market downturn \u2014 Vauld held positions in Bitcoin, Ethereum, MATIC and XRP.<\/p>\n<p>The third factor in the loss of financial stability were defaults by some counterparties, which led to unrecoverable losses of about $1.7 million. The fourth reason for insolvency were expenditures on sponsorship agreements.<\/p>\n<p>Galaxy Digital chief Mike Novogratz said that the Terra ecosystem collapse, along with problems at Celsius Network, Voyager Digital and Three Arrows Capital, had made the entire industry look like a &#8216;bunch of idiots&#8217;.<\/p>\n<p>Read ForkLog&#8217;s bitcoin news in our <a href=\"https:\/\/telegram.me\/forklog\" target=\"_blank\" rel=\"nofollow noopener\">Telegram<\/a> \u2014 cryptocurrency news, prices and analysis.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The High Court of Singapore granted the crypto-lending platform Vauld a moratorium on proceedings until 7 November 2022, instead of the six months requested. Bloomberg reports.<\/p>\n","protected":false},"author":1,"featured_media":65181,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"1","news_style_id":"1","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[83,1162,2227],"class_list":["post-65180","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-business","tag-court-cases","tag-vauld"],"aioseo_notices":[],"amp_enabled":true,"views":"17","promo_type":"1","layout_type":"1","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/65180","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/comments?post=65180"}],"version-history":[{"count":1,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/65180\/revisions"}],"predecessor-version":[{"id":65182,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/65180\/revisions\/65182"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media\/65181"}],"wp:attachment":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media?parent=65180"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/categories?post=65180"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/tags?post=65180"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}