Crypto Transition Unveiled: Winds of Change at Vauld
Darshan Bathija, the current helmsman steering the ship at Vauld, a prominent player in the realm of cryptocurrency lending, has unveiled a series of strategic maneuvers on the horizon. These forthcoming changes are set to usher in a new era, including the anointment of a fresh Chief Executive Officer.
Vauld, a Singapore-based juggernaut, has weathered the storm brought on by the bearish market trends. The tumultuous waves of 2022 compelled the company to part ways with a substantial portion of its workforce and momentarily lower the drawbridge on withdrawals and deposits. Yet, the narrative doesn't conclude there; the saga continued with Vauld knocking on the doors of creditor protection, seeking sanctuary from the financial tempest.
Latest Ripples at Vauld:
Bathija, who stands as both a founding figure and the reigning CEO of Vauld, has taken to the digital pulpit of X (formerly christened as Twitter) to divulge that a successor is poised to ascend the crypto lending throne. In tandem with this transition, the company is poised to enlist a new emissary for its creditors, alongside a scheme manager, as part of its multi-pronged approach to navigate through the stormy seas. A nod of approval from the Singaporean authorities has graced Vauld's proposed arrangement, further cementing the route forward.
Vauld (Defi Payments Pte Ltd) got its scheme of arrangement passed in Singapore courts.— Darshan Bathija (@darshanbathija) August 24, 2023
As part of the scheme, the current board will be replaced with a new CEO, a creditor representative, and a scheme manager.
Customers are currently re-submitting their KYC information. More…
Vauld, bolstered by the backing of Coinbase, cast a foreshadowing shadow last June when it made the tough call to bid adieu to 30% of its workforce, a portentous prelude to the subsequent suspension of withdrawals and transactions a mere fortnight later.
During that juncture, the consortium steering the ship of Vauld proclaimed, "For the interim, we've opted for the regrettable necessity of an immediate freeze on all trading activities, deposits, and withdrawals on the Vauld platform. We are of the belief that this pivotal juncture will empower our journey in exploring prospective restructuring avenues, hand in hand with our trusted financial and legal counselors."
The tapestry further reveals that with assets valiantly valuated at around $330 million but counterbalanced by liabilities looming tall at $400 million, a blueprint for resurgence was demanded of Vauld by April 28, following its plea for the sanctuary of creditor safeguarding. Whispers within the crypto corridors and murmurs among the denizens of X hint at the potential for Vauld to extend a hand of reimbursement to those affected, as summer unfolds its embrace.
The Dashed Deal with Nexo:
A riveting chapter saw the two entities embarking on a 60-day odyssey of exclusivity, exploring the prospects of a merger.
CEO Bathija articulated, "By unfurling our sails under the Nexo banner, we are instantly bestowed with the wind of advantage to honor our commitments to our patrons, all the while navigating the ambitious blueprints both our entities have charted, regardless of the fickle winds of the market."
Alas, in the later epochs, Vauld took a step back, declining the proffered pact, citing that the contours of the potential agreement did not harmonize with the best interests of its debtors. Worth a mention is the subplot of Nexo, facing its own tribulations as the curtains rose on 2023, with law enforcement casting a shadow over its Bulgarian sanctum.