Tags in this story
Bank, Bitwala, clients, crypto, crypto exchange, cryptobank, cryptocurrencies, cryptocurrency, customers, exchange, German, Germany, insolvency, Neobank, Nuri, trading, users, withdrawal
German Crypto Bank Nuri Asks Customers To Withdraw Funds As It Goes Out Of Business – Bitcoin News
Digital asset platform Nuri has asked customers to withdraw their funds within the next two months, after taking a hit from the crypto winter. Formerly known as Bitwala, the Berlin-headquartered cryptocurrency bank filed for insolvency earlier this year and failed to find a buyer.
Nuri will maintain trading until the last day of November, prepares to close
Kryptobank and exchange Nuri have instructed users to withdraw their money no later than December 18, 2022. The Germany-based company will then terminate and liquidate its digital asset operations, according to a letter from CEO Kristina Walcker-Mayer, who assured:
Customers have access and will be able to withdraw all funds up to the said date. All assets in your Nuri account are safe and unaffected by Nuri’s insolvency.
The CEO pointed out that the platform will continue to support trading until November 30, 2022. The announcement comes after Nuri filed for temporary insolvency in August. Reports at the time noted that it became the first German fintech to take the plunge in a challenging year for crypto startups.
Nuri was launched in 2015 and operated for a few years, until rebranding in 2021, under the name Bitwala. Over the years, the company went through ups and downs, but this year’s challenges became insurmountable.
The tough economic and political conditions prevented it from attracting investors and raising new funds. The insolvency of one of its main business partners further worsened the situation, and despite working closely with the administrators on a restructuring plan for the past three months, Nuri was unable to find a buyer.
While many digital asset companies saw significant growth when crypto prices reached record highs last year, many were hit hard by the 2022 market downturn and events such as the collapse of the terrausd (UST) stablecoin in May. Finding an investor has proven difficult. For example, last month online payments firm Bolt scrapped a deal to buy crypto provider Wyre.
Do you expect other German crypto companies to go out of business in the near future? Share your thoughts on the topic in the comments section below.
Image credit: Shutterstock, Pixabay, Wiki Commons
Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or an endorsement or recommendation of products, services or companies. Bitcoin.com does not provide investment, tax, legal or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on content, goods or services mentioned in this article.
