End of an Era: Wyre Exits Crypto Payments Due to Bear Market

End of an Era: Wyre Exits Crypto Payments Due to Bear Market
In a bittersweet twist, Wyre, the crypto payments company hailing from the vibrant city of San Francisco, has decided to close its doors after a commendable decade-long run. While the bear market's financial hurdles played a significant role, it's worth noting that their decision was not influenced by the hawkish gaze of regulatory agencies in the United States. 

In a recent blog post, the company announced its intention to wind down its operations, emphasizing that this decision was made to safeguard the well-being of its key stakeholders and customers.

Wyre assured its customers that their assets would remain secure during this transition period. Individuals with assets on the Wyre platform were advised to withdraw them through Wyre's dashboard by Friday, July 14th. Following that date, the company will implement a separate procedure to facilitate the recovery of any remaining assets on the platform.

The Wyre team has informed interested parties that their assets, as well as those of its subsidiaries, are available for acquisition. Those who wish to explore the possibility of acquiring these assets are encouraged to contact 88 Partners.

The company has faced significant challenges since its proposed acquisition by Bolt, a one-click checkout company, fell through in September 2022. This event appears to have set in motion a decline for Wyre.

On January 4, 2023, trouble began brewing when Juno, a fiat-to-crypto on-ramp solution provider, advised its users to transfer their crypto assets from the Juno platform and store them independently due to the perceived "uncertainty" surrounding Wyre, its custodial partner.

The following day, MetaMask also decided to cease its support for Wyre's crypto payment services due to the same concerns.

Shortly thereafter, Wyre implemented a 90% withdrawal limit for all its users. However, on January 13, the company swiftly lifted this cap after securing financing from an undisclosed "strategic partner," which indicated a potential path to recovery for the firm.

Reports suggest that Wyre also had to make the difficult decision to lay off 75 employees in January as part of its efforts to navigate these challenges.

In a tale as old as time, Wyre has joined the ranks of countless crypto and blockchain enterprises that have succumbed to the relentless grip of the bear market. Like a delicate balance beam routine, these firms and projects danced precariously, only to falter under the weight of a prolonged downturn.

Previous Next

This information is for educational purposes only and does not constitute investment advice. No person should rely on it to make any investment. Investing carries risks, including the loss of capital. All opinions expressed are subject to change without notice. Past performance is not indicative of future results. Always seek the advice of a licensed investment professional before making any investment.