CoinFlex said it has suspended all withdrawal transactions on its platform due to “extreme market conditions” and “continued uncertainty involving counterparties” last week, with withdrawals expected to take place on June 30, the media said.
CoinFlex did not name a specific counterparty and said it was not Three Arrows Capital or any lending platform.
Founded in 2019, CoinFlex is a small cryptocurrency exchange focused on derivatives trading, and its investors include prominent Bitcoin advocate Roger Ver.
In addition, Voyager Digital, the protagonist of the previous scene, was involved in the liquidity crisis of Three Arrows Capital. Although he received an olive branch from the “Currency Circle Central Mother” SBF, he was still actively seeking self-help, and now he has also begun to restrict withdrawals.
Voyager said it lowered the maximum withdrawal amount for customers from $25,000 to $10,000, and that the number of transactions in a 24-hour period was capped at 20.
It is worth mentioning that the crypto lending platform Nexo is trying to “reach out” to its peers.
For now, Nexo says the company has a strong balance sheet and can provide liquidity to volatile markets by acquiring troubled crypto companies.
Nexo announced in a blog post that it has hired Citigroup to advise on potential acquisitions, including how to better acquire insolvent crypto companies so investors can regain access to frozen funds.
Citigroup said Nexo was approaching it for “first-class advice”, including “restructuring transactions involving liquidity.”
Nexo had previously offered to buy rival Celsius on June 13, but a Nexo spokesperson said in an email that the offer “did not materialize.”
