FTX bankruptcy freezes millions worth of crypto company funds

  • 📰 Cointelegraph
  • ⏱ Reading Time:
  • 51 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 24%
  • Publisher: 51%

United Kingdom News News

United Kingdom United Kingdom Latest News,United Kingdom United Kingdom Headlines

The FTX bankruptcy is hurting several companies in the space. Between Nov. 11 to 14, three crypto companies announced large losses, with one of them having to lay off workers to deal with the crisis.

New Huo Technology, the owner of the Hong Kong-based crypto platform Hbit Limitedon Nov. 14 it failed to withdraw $18.1 million worth of cryptocurrency before FTX stopped processing withdrawals.

$13.2 million of this loss are digital assets owned by Hbit users with the company saying it would continue to take steps to “withdraw the cryptocurrency as soon as possible,” bit admitted due to FTX’s bankruptcy filings the crypto “may not [be] able to be withdrawn from FTX.” According to the announcement, Li Lin, the controlling shareholder of the company and founder of the Huobi crypto exchange, agreed to loan up to $14 million to the company for it to use in processing withdrawals. However, the company does not yet know what the financial impact of FTX’s bankruptcy will be if it is never able to withdraw the funds.

Nigerian Web3 startup Nestcoin also announced it failed to withdraw funds from FTX with the company’s CEO, Yele Bademosi, posting to Twitter on Nov. 14 a letter previously shared with investors. The letter detailed that Nestcoin will lay off workers “as we held our assets at FTX to manage our operational expenses” and it no longer has the funds to pay some staff.

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 562. in UK
 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

This is the case at the moment

Just now? 🤔 It's bit to early to make such claims as a reason for lay off

United Kingdom United Kingdom Latest News, United Kingdom United Kingdom Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Warriors join Heat, suspend deal with FTX after cryptocurrency company declares bankruptcyThe Golden State Warriors are suspending their deal with FTX, too.
Source: WOKVNews - 🏆 247. / 63 Read more »

Golden State Warriors suspend deal with crypto company FTXOn Monday, the Golden State Warriors announced that they would be suspending their partnership with FTX, after their game against the San Antonio Spurs. They become the second NBA team to cut ties with the crypto company after it declared bankruptcy.
Source: sfexaminer - 🏆 236. / 63 Read more »

Warriors suspend deal with crypto company FTXLast December, both the Warriors and FTX announced a 'first-of-its-kind' cryptocurrency partnership
Source: sfexaminer - 🏆 236. / 63 Read more »