$ 1,238.02 0.97%
$ 41.15 0.78%
$ 0.068105 0.34%
$ 5.17 13.91%
$ 21,446.00 0.79%
$ 239.09 0.38%

Cryptopia On The Verge Of Shutting Down

cryptopia liquidation

Cryptopia has just announced that they are entering the liquidation process of their exchange and everybody is scrambling to get their assets out of the company as soon as possible. Due to the liquidation process initiation, all trading activities will cease in the next few days, therefore all traders are recommended to transfer their funds to a different platform.

Many didn’t believe when rumors started to circulate the internet that Cryptopia was on its way to an early death due to a security breach earlier this year in January, followed up by two more later. In order to stay afloat, Cryptopia didn’t disclose the exact number of cryptocurrencies taken from their databases. What investors got was a “significant loss” explanation, which later was rumored to have been nearly $16 million.

Although the amount may sound quite small for a crypto exchange to go out of business, compared to the $40 million Binance lost last week. But, it’s important to note that these companies are very different.

Failed attempts for reconstruction

Cryptopia’s executive team did all in its power to bring the company back on its feet. Multiple lay-offs were made, costs were cut to the utmost essentials and the stakeholders were requested to assist. However, the company still decided in the end that appointing liquidators was the best course of action.

The liquidation was decided based on stakeholder interests. Since the company was well on its way towards bankruptcy it was the perfect opportunity to get at least something out of it while it lasts. But the company is not yet gone, in fact, it may not be gone for months as the liquidation process is quite complicated.

Giorgi Mikhelidze

Giorgi Mikhelidze

Georgian-born blockchain enthusiast Giorgi leverages his software development background for on point market commentary and analysis. A brief stint with Finance Makers and he's now covering crypto news for high authority websites with the tip learned from past experience, "Whenever you see people talking about the weakness of your idea, don't see it as criticism."

Related News

Hot Stories

Crypto News Alert – A New Meme Coin That Will Process 50,000 Transactions Per Second
Shiba Inu price analysis: SHIB continues to rise with $0.00001350 in sight
Bitcoin price analysis: BTC slowly retests $21,500, ready to return lower?
Polkadot price analysis: DOT price will break above the closest resistance level found at $ 9 over the weekend
Ripple price analysis: XRP price consolidates below $0.36, but bulls are optimistic

Follow Us

Industry News

Margin calls and bot liquidations add chaos to crypto as its market cap hits $964b
Bitpanda lays off workers amid the market decline
Coinbase to launch Nano BTC features aimed at retail traders on June 27
Namibian University will offer master's degree in blockchain technology soon
Uphold announces restriction of Venezuelan users