Withdrawal Freeze Lifted: Delio Crypto Lender Bounces Back

Withdrawal Freeze Lifted: Delio Crypto Lender Bounces Back
In a fascinating turn of events, the South Korean crypto lending platform Delio is making headlines as it announces the resumption of withdrawals, although without a fixed schedule. Just a few days ago, on June 14, withdrawals were abruptly paused, causing quite a stir. 

However, according to a recent report from local news outlet Decenter, Delio's CEO, Jung Sang-ho, revealed during a meeting with investors on June 17 that the platform will strive to secure ample capital to compensate its users. The withdrawals will be phased out, but intriguingly, no specific details were disclosed regarding the repayment period, method, or the extent of the damages.

Delio, known as one of South Korea's prominent crypto lending firms, boasts an impressive crypto asset portfolio. With approximately $1 billion in Bitcoin (BTC), currently tickering at $27,448, $200 million in Ether (ETH), currently tickering at $1,751, and a staggering $8.1 billion in altcoins, the platform has amassed substantial holdings. Interestingly, a significant portion of these funds were entrusted to Haru Invest, a fellow South Korean crypto yield platform.

However, Haru Invest itself encountered a tumultuous situation on June 13 when it suspended both deposits and withdrawals. The reason cited was the suspicion of false information provided by a consignment operator during an internal inspection process. Haru Invest, which boasts a user base exceeding 80,000 individuals and has facilitated an impressive 9.8 million crypto earn payouts, is now facing the possibility of bankruptcy. 

During the Delio investor meeting, CEO Sang-ho alleged that recovering the losses and guaranteeing the initially promoted rate of return in the deposit product has become a challenging endeavor. Nonetheless, he assured investors of a plan to address these issues.

In response to the complications, Haru Invest has taken legal action, filing a criminal complaint against its service operator, B&S Holdings. Additionally, the company has expressed its commitment to pursuing civil litigation. In a statement, Haru Invest extended its apologies for the concerns and inconveniences caused to its investors and customers and pledged to tackle the issue diligently.

These recent developments in the South Korean crypto lending landscape are nothing short of captivating. Delio's decision to resume withdrawals, albeit without a fixed schedule, coupled with Haru Invest's predicament and subsequent legal actions, highlight the dynamic nature of the crypto industry and the challenges it can present. 

As the situation continues to unfold, it will undoubtedly be intriguing to see how Delio and Haru Invest navigate these turbulent waters while striving to regain the trust of their users and investors.

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