Singapore court grants three-month moratorium to Vauld
A Singapore court on August 1, granted a three-month moratorium to cryptocurrency lending start-up Vauld till November 7, 2022. Following demand letters from a few creditors, the judge further gave a deadline of four weeks to the company to explore mechanisms for withdrawal for creditors in need.
All the creditors will get updated financial details on the Coinbase-backed company in another eight weeks, the court said in a virtual hearing.
Vauld was earlier seeking a six-month moratorium from the court to strategise the company’s way out of its ongoing liquidity crunch and possible acquisition by London-based crypto lender Nexo. The lending company is currently in the process of due diligence in a 60-day exploratory period while the court proceedings take place in the background.
As of now, the Vauld’s operations remain halted while it has parallelly stopped withdrawals for customers.
In July, Vauld had said that its parent company Defi Payments currently has assets worth around $330 million and liabilities worth $400 million.
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