The Spanish cryptocurrency platform 2gether closes

The Spanish cryptocurrency platform 2gether closes

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The Spanish cryptocurrency platform 2gether has not been able to overcome the downturn that the sector is experiencing and has been forced to close down, leaving 100,000 users helplessaccording to data from the Association of Financial Users (Asufin).

2gether announced this Wednesday that on July 10 it will hold a 20 euro charge as a management expense due to the “impossibility of maintaining the free service” and from that moment, both the website of the platform and the app are shown blocked and without the possibility of carrying out any management.

“After five years serving the crypto community, we are forced to close the private account service. The lack of resources and the crypto winter prevent us from providing quality service and the guarantees with which other nearby suppliers are doing it,” the group points out.

The company thus becomes the first Spanish platform to cease its activities due to the crypto wintera term used to refer to periods in which there are sharp falls in the price of assets.

Asufin has already announced that it will undertake class action lawsuits and that he will appear in the bankruptcy proceedings.

The platform had already made headlines in August 2020 after suffering a cyberattack that ended with the theft of 114 bitcoins and 276 ethers, equivalent to 1,183 million euros in cryptocurrencies at the time change.

At that time, did not have the necessary funds to cover the stolen in the accounts of its clients, with which in January 2021, the startup managed to raise 1.5 million euros in a financing round, an amount that was used to reinforce the company’s security and its coverage model, as well as to replenish the stolen funds.

The ‘crypto winter’ also affects other platforms

The ‘crypto winter’ wreaks havoc on the sector. The cryptocurrency lending and trading platform Vauld ordered this Monday to block all withdrawals of fundsas well as transactions and deposits “with immediate effect”, while the firm studies its possible restructuring options after the substantial refunds to clients in recent days.

The Voyager Digital platform has also voluntarily availed itself of the protection of Chapter 11 of the United States Bankruptcy Law in order to undertake the restructuring of the company and maximize value for all interested parties.

In the past week, Voyager suspended withdrawals as well as deposits and all transactions on your platform due to current market conditions.

“This comprehensive reorganization is the best way to protect assets on the platform and maximize value for all stakeholders, including customers,” said Stephen Ehrlich, CEO of Voyager.

Not only the small ones are being affected: Binanceone of the largest cryptocurrency exchanges in the world, decided on June 13 to temporarily suspend bitcoin withdrawalsthe same day that Celsius suspended them as a result of “extreme conditions” From the market.

The list is long and at the moment, no signs of improvement in the sector. Bitcoin, the best-known cryptocurrency, was quoted this Thursday at 11 a.m. at 20,496 dollars (20,107 euros), 1.52% more than yesterday, but far from its maximum, while ethereum was changed at that time to 1,176 dollars ( 1,153 euros), 3.02% more.

The falls recorded in recent months have erased thousands of jobs. the austrian platform Bitpanda announced a few weeks ago the reduction of its workforce to 730 employeeswhile Coinbase laid off 1,100 workers and other platforms like Gemini they were forced to lay off 10% of your workforce.

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