Zipmex, a Southeast Asia-focused cryptocurrency exchange in markets such as Singapore, Thailand, Indonesia and Australia, said it had filed for bankruptcy protection in Singapore, becoming the latest victim of a global slowdown in crypto markets.
Zipmex resumed withdrawals last week, a day after it was suspended on July 20, and said it was working to address its $53 million exposure to crypto lenders Babel Finance and Celsius. On 22 July 2022, its solicitor in Singapore, Morgan Lewis Stamford LLC, filed five applications on behalf of several entities of the Zipmex Group under Section 64 of the Insolvency, Reorganization and Dissolution Act of 2018 of Singapore, the cryptocurrency exchange said on Wednesday. .
Under Singapore law, such filing gives companies an automatic adjournment of 30 days or until a Singapore Court decides on the application, whichever is earlier.
zipmexWhich according to its website operates in Singapore, Thailand, Indonesia and Australia, is the latest in a string of crypto players globally facing difficulties following a sharp sell-off in markets that began in May with the collapse of the two paired tokens, Luna. is to participate in. and TeraUSD.
is the latest in a string of zipmx crypto Players globally faced difficulties after a sharp selloff in the crypto markets that began in May with the collapse of the two paired tokens, Luna and TeraUSD. Zipmex joins crypto firms from Celsius Network Ltd to Wold to suspend withdrawals, leaving depositors in the lurch and underscoring the dangers of leveraged bets entering the industry.
The crypto exchange was launched in September 2019 and according to its website is based in Singapore and Thailand. Data from CoinGecko shows that the company’s native ZMT token is down more than 93% from its all-time high in April last year.
Many crypto companies have filed for bankruptcy or have been forced to seek emergency capital investments. The cryptocurrency market failed to recover from the collapse of Terra in May as major crypto lending companies were under threat of bankruptcy, sparking fear among market participants. The price of cryptocurrencies like bitcoin rose in 2020 and 2021, but has declined sharply this year.
(with inputs from agencies)
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