CoinFLEX Delays Resuming Withdrawals

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Cryptocurrency derivatives exchange CoinFLEX said it needs more time to resume withdrawals as the platform is still lookingthe one who buys back the debt of $47 million.

CoinFLEX CEO Mark Lamb said the exchange is unlikely to resumeWithdrawals today as they are looking for someone to help with the $47 million in debt.The company is now in talks with several large funds interested in buying its debt.Recall that CoinFLEX announced the suspension of withdrawals on June 23, citing extreme market conditions and uncertainty regarding a particular counterparty. 

Lamb later publicly accused the Bitcoin founder.com Roger Ver for breach of contractual obligations, which led to the suspension of the withdrawal of funds. The CEO of CoinFLEX stated that there is a written contract that obliges Vera to guarantee any negative equity in the account and replenish the margin. However, according to Lamb, Ver violated this agreement and his account became negative.

The CEO of CoinFLEX assured thathas made significant progress in selling Recovery Value USD (rvUSD) tokens to distressed debt funds, clients and investors. According to him, the exchange is now considering different options for covering the debt, but cannot name the exact date for the resumption of withdrawals.

"The good news is thatThe companies and funds interested in covering the debt are extremely well capitalized, with some having more than $10 billion under management,” Lamb said.

Let us recall that previously the cryptocurrency platformlending Babel Finance responded to the market downturn and suspended financial transactions, also prohibiting the withdrawal of funds from client accounts.