Vauld Crypto is an Indian-based cryptocurrency trading and loan exchange platform that was established in 2018 by Darshan Bathija and Sanju Kurian. At its peak, it had close to $1 billion in assets under control.
Vauld, however, became the most recent casualty of the crypto credit crunch. Recently, it banned all withdrawals, trading, and deposits. In order to think through its restructuring possibilities, it also employed legal and financial experts. Client withdrawals are still being suspended.
Vauld Acquisition by Nexo
A co-founder of Nexo, Antoni Trenchev, has revealed that Nexo could reorganize Vauld or refinance it depending on the findings of the due diligence procedure. For instance, Nexo may rapidly supply liquidity by taking Vauld’s assets staked for longer periods of time or longer-term investments. Trenchev also suggested that crypto assets could be replaced if they are lost.
Vauld has agreed to a preliminary term sheet that gives Nexo a 60-day window of exclusivity for exploratory work. Nexo might either reorganize Vauld or refinance it, depending on the findings of the due diligence.
Earn $ 25 free Nexo crypto sign-up bonus
Trenchev said that Nexo has to consider it in the broad context of whether, in the case of its intervention, it can actually manage to restructure the firm – so that it operates once more and is successful within the Nexo umbrella, which is lucrative as a company. He claims that Vauld crypto is extremely popular in Southeast Asia and India, two crucial regions for Nexo and the popularity can further increase the Nexo crypto demand and the token price
Nexo Coin, the Savior?
Nexo has attempted to rescue a troubled cryptocurrency company even before. Earlier, Nexo had also proposed purchasing the assets of the Celsius Network, its struggling rival and famous cryptocurrency loan provider.
Vauld is the most recent decentralized finance (DeFi) company to be impacted by the current decline in the cryptocurrency market. The company said in a statement on July 4 that its financial difficulties were due to a combination of various circumstances, which were caused by:
- The demise of Terraform Labs’ UST stablecoin
- The Celsius Network pausing withdrawals, and
- Three Arrows Capital defaulting on its loans
These factors also included volatile market conditions, financial difficulties of important business partners, and withdrawals in excess of percent 197.7 million of coins since June 12, 2022. Following the company’s decision to stop all activity on its platform, many people took to social media to criticize the influencers who had earlier endorsed the business.
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