Crypto exchange Zipmex struggling moratorium In Singapore to extend protection against legal action from victimized creditors.
You can apply in just one week after the exchange Stopped Withdrawal from the platform due to the liquidity crisis. Zipmex lawyer Morgan Lewis Stanford has demanded a court order banning creditors from suing the company for six months.
According to Zipmex, the moratorium allows teams to focus on solving liquidity issues that impact their operations.
The Zipmex Group’s subsidiaries covered by the application are Zipmex Asia Pte Ltd, Zipmex Pte Ltd, Zipmex Company Limited (incorporated in Thailand), Zipmex Exchange Indonesia, and Zipmex Australia Pty Ltd.
Moratorium in Singapore
Under singapore Law, Companies facing a liquidity crisis can apply for a moratorium that automatically provides 30 days of protection against legal proceedings from creditors. This is to allow the company to consider options to settle creditors or apply for an extension of the moratorium. If the company needs more time, the presiding judge will schedule hearings with the relevant creditors to decide whether to extend the moratorium.
For Zipmex, the hearing will take place on July 29th. If the court grants the request, we will use a six-month period to investigate all available options for amicable payments to creditors.
A similar case is underway for Singapore-based crypto lenders. bold. platform Stopped The client withdrew on July 4th and owes the customer $ 363 million in debt. As the liquidity crisis worsened, I applied to the Singapore High Court for a six-month moratorium. The hearing is scheduled for August. However, companies with a high-level debate about the potential for acquisition by crypto lenders have Nexo.
Zipmex Survival Plan
The financial crisis on the exchange is closely linked to the collapse of Babel Finance and Celsius. It has $ 53 million exposure to two crypto companies that have defaulted on loans due to worsening market conditions. Zipmex is seeking to recover a $ 48 million loan from Babel Finance to amortize the $ 5 million Celsius payable.
Zipmex is committed to creating a restructuring plan and securing more investment to secure the business.Confirmed in publication Having approved a second Memorandum of Understanding (MOU) on July 27, it received a large amount of capital to inject into the platform.
The exchange said it would be the first deposit from an interested investor, discussing the final terms and hopefully deploying funds to continue operations.
