Coinlist That Suffered from 3AC Crash Halts Withdrawals, Here’s What Is Known | Pages Da

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Yuri Molchan

Coinlist has paused deposits and withdrawals for some coins, here’s what might happen

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  • Here’s why Coinlist has frozen withdrawals
  • Is Coinlist On The Verge Of Bankruptcy?

Chinese cryptocurrency journalist and blogger Colin Wu has spread the word that another cryptocurrency platform has paused deposits and withdrawals.

Coinlist, the largest crypto crowdfunding platform, stated that customers’ money is safe and mentions the reason, which Wu suggests, may not be true.

Here’s why Coinlist has frozen withdrawals

Wu tweeted, referring to a tweet from Coinlist customer support, that the reason for holding up crypto withdrawals is maintenance being done by one of their custodian partners at the moment. This partner was not named.

However, Wu revealed that this could be one of the companies that are custodian partners of Coinlist: Anchorage, Bitgo, Gemini Custody or Silvergate Bank. Gemini has been in trouble recently as their Gemini Earn service froze withdrawals due to issues with their partner – Genesis Global Capital, a subsidiary of Barry Silbert’s Digital Currency Group.

The journalist also mentioned that Coinlist was among the companies affected by the collapse of the Three Arrows Capital (3AC) fund earlier this year. According to him, Coinlist lost $35 million in the crypto fund going bankrupt.

The “maintenance” of the anonymous Coinlist partner has already taken more than a week. The company’s Twitter account was tagged in the comment thread with a request for comment, but there has been no response so far.

Is Coinlist On The Verge Of Bankruptcy?

According to one of the aforementioned tweets, in 2018, Digital Currency Group participated in a Series A investment round for Coinlist. However, Wu says it is unclear whether Genesis, which is on the brink of bankruptcy, is connected to Coinlist.

In a tweet, Coinlist customer support stated that deposits and withdrawals for FLOW, MINA and CFG only are unavailable.

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