Distressed crypto lending platform Vauld was granted another period of extension of creditor protection from the Singapore High Court until March 24, during which the company will work out revival plans.
Vauld halted withdrawals for its customers last summer after being hit by an unprecedented $200 million worth of withdrawals in under two weeks amidst excessive turmoil in the market. The lender, backed by Coinbase Ventures, PayPal cofounder Peter Thiel’s Valar Ventures, and CMT Digital, among others, had assets worth around $330 million and liabilities worth $400 million.
The deal with its rival lender Nexo fell flat, following which it filed for protection against creditors in Singapore. The first moratorium was granted for three months.
Vauld contended that Nexo failed to provide the necessary details to back its claim of solvency. This prompted the former to discontinue discussions.
During the last creditor protection, which expires on Feb 28, Vauld revealed entering into advanced stages of negotiations with potential crisis managers. It received bids from two digital asset fund managers for a potential takeover.
In a statement to CryptoPotato, Vauld said,
“This Restructuring Plan is contingent on the Restructuring being implemented only upon passing of a Scheme at a meeting of creditors to be convened by Defi Payments upon which all Creditors will be bound by the terms of the Scheme.”
The creditors filed an affidavit last week to prevent the company from filing another extension to its moratorium.
Reports suggested that the new affidavit with the Singapore Court was filed by Jonathan Jeremy Edelman, authorized by creditors William Doerrfeld, Samuel Burton, Jeffrey Howerbush, and Brian Murray.
Vauld owes a total of nearly $2.23 million to the four men.
The post Vauld Scores Another Creditor Protection Extension From Singapore High Court appeared first on CryptoPotato.
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