The CEO said the decision was made after the company was unable to find a potential acquirer or investor after working with bankruptcy managers over the past three months on restructuring plans.
The platform will continue trading until November 30th. However, Nuri advised his clients that he should withdraw his assets by December 18th.
Nuri is bankruptcy In August, the general situation in the cryptocurrency industry and one of its major business partners “made things much worse.”
Nuri has suspended its business activities. We ask our clients to withdraw their funds and assets by December 18, 2022. Thank you for joining the Nuri community. 💜
Below is a letter from CEO Kristina Walcker-Mayer. https://t.co/gdOOeoOKDs
— Coloring (@NuriBanking) October 18, 2022
Walker Mayer says:
This year, the challenging economic and political environment of the past few months has made the challenges insurmountable, making it impossible to raise new capital or find a buyer.
About 45% of Nuri’s employees were laid off in May. Walcker-Mayer said the move was necessary to rectify the technology and fintech reputation crisis.
Nuri is a Germany-based neo-bank that allows users to invest in Bitcoin and Ethereum through German bank accounts.
A bear market threatens the survival of many cryptocurrency companies
Like Nuri, other cryptocurrency companies have been hit hard by the recent bear market. At the time of filing this report, Hodlnaut, Celsius, Three arrows capital, Vauld, Coinbase and many others are affected by this situation.
Many of these companies, especially Hodlnaut, have temporarily suspended withdrawals, deposits and trading on their platforms. In addition, these companies have drastically cut headcount to save costs.
There is no doubt that the prevailing bear market is hurting cryptocurrency companies. Recall that most of these companies, especially exchanges, rely on transaction fees to survive in a highly competitive field. However, they were severely impacted by a significant drop in trading volume due to the drop in cryptocurrency prices.