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U.S-based Crypto Lending Service Files for Bankruptcy: Customers Demand Answers

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United States-based cryptocurrency lending platform Cred Inc. filed for Chapter 11 bankruptcy protection in Delaware on Saturday in an attempt “to maximize the value of its platform for its creditors.”

In its filing, Cred listed estimated assets of between $50 million and $100 million and liabilities between $100 million and $500 million.

According to the press release, Cred has appointed well experienced Grant Lyon to its board as an independent director to oversee the restructuring process. The company has also hired Paul Hastings LLP as its legal advisor as well as MACCO Restructuring Group as financial advisor to evaluate M&A and other restructuring opportunities. 

The filing for bankruptcy follows an earlier announcement on October 29 that the platform will be temporarily suspending the inflow and outflow of funds for two weeks due to an ongoing investigation connected with fraud.

Cred tweeted that they are cooperating with law enforcement authorities to investigate the incident, stating that no client information was compromised.

Uphold to sue Cred for breach of contract

Shortly before the announcement, major U.S trading platform Uphold issued an official notice terminating their partnership with Cred on October 25, stating that Uphold customers can no longer link their wallets with Cred.

Uphold claims to have only found out about the incident on Friday, October 23, after which they cut ties with the company and removed Cred’s CEO, Dan Schatt as a designee Board Member at Uphold. 

In the early hours of today, Uphold announced its plans to sue Cred LLC, its affiliates, and founders for fraud, breach of contract, and reputational damage. 

According to the report, Uphold customers who lost money will be compensated from the proceeds of the litigation which will be funded by Uphold. It is currently impossible to estimate how much money will be recouped as compensation will depend on the bankruptcy proceedings. 

Cred’s customers ask questions

Following the incident, Cred’s customers have been demanding answers regarding the recovery of their funds.

Lately, there have been similar incidents jeopardizing customer trust with third-party custodians over their funds. One good example is the cryptocurrency exchange OKEx whose withdrawals have remained closed since October 16 on the basis of police investigations. 

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  1. Pingback: U.S-based Crypto Lending Service Files for Bankruptcy: Customers Demand Answers by Miracle Nwokwu – Cryptotvplus Events

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Naijapay Launches Enabling Bitcoin and Dash Payments

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Naijacrypto a top indigenous Nigerian exchange has announced the launch of their crypto payment gateway, “Naijapay” to enable businesses to accept crypto payments with easy
conversion to naira.


Nigeria has been a popular crypto hotspot over the years always among the top in ranking of traded bitcoin volumes. This is fueled in part by the huge remittance inflow into the country which was more than the oil revenue of the country in 2018, and the use of crypto for payments.

As more people switch over to using crypto for day to day payments, Naijapay aims to be their top destination.

Naijapay will support Bitcoin and Dash payments at zero transaction fees. It would contain two modes; The “naira mode” would enable businesses to accept crypto but always receive naira.

They do not need to worry about the volatility of the cryptocurrency markets. The “crypto mode” is for those who wish to receive crypto and keep funds in crypto.

The platform has utilities for
users who just wish to accept crypto payments without any complexities as well as utilities for users who wish to integrate payment APIs on their website.

Naijapay is also InstantSend enabled, meaning Dash transactions will be instantly confirmed, and the naira value credited to the receiver.
The Naijapay Platform would also advertise businesses who accept cryptocurrencies, this is in Naijacrypto’s vision to make the Local markets visible to the international community.

Even freelancers can advertise their business to an international community and receive payments easily.


According to Chiagozie Iwu, founder of Naijapay; “Naijapay is set to revolutionize the way Nigerian Businesses and freelance workers receive payments. Gone are the days when payment methods hindered market reach”.

This is a much-needed utility in the Nigerian business space
and also good news to the Nigerian crypto community in their push for more crypto adoption
mechanisms.

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Luno to hire over 200+ people, Plans Global Expansion to reach 1bn people by 2030

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Co-Founder and CEO of leading cryptocurrency exchange, Luno has revealed the firm is looking to hire over 200 personnel. 

This was revealed via a tweet on the 19th of November, 2020. In the twitter post, the CEO, Marcus Swanepoel said Luno was looking at getting 200+ people and anyone who wants to help the firm upgrade the world to a better financial system should keep an eye on its job portal. 

Luno CEO, Marcus Swanepoel

Mr.  Marcus also tweeted about the plan of getting the Luno brand to 1 billion people by the year 2030.

Read also: How a First Time Bitcoin Trader Made 10% Profit in 10 Days on Luno. 

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Kucoin’s Web Traffic Drop by Almost half in October After Hack

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Cryptocurrency exchange Kucoin experienced a drop in its web traffic in the month of October by almost half. The report which was compiled by ICO_Analytics reviewed the web traffic data of 20 top cryptocurrency exchanges for the month.

According to the report, Kucoin experienced web traffic of 1.7 million in the month however, that figure represented a significant reduction in its web traffic when compared with the previous month, September.

The report revealed the exchange experienced a 45% loss in web traffic in the month of October. The likely reason was the attack which occurred on the exchange in late September, which saw the exchange halt significant operations. The hackers were able to withdraw huge some of funds running in hundreds of millions of dollars in several cryptocurrencies such as Bitcoin, Stellar and multiple ERC-20 tokens

Immediately the news of the security breach broke out, industry participants rally round support the thwarting of the hackers plan by freezing stolen cryptocurrency, upgrading contracts to render the some of the stolen funds useless etc. 

With this measures, the CEO of Kucoin Johnny Lyu has revealed the exchange has been able to recover the 84% of the stolen funds and will published the case when it is closed as directed by law enforcement. Johnny Lyu also revealed the exchange has resumed full service for the 176 tokens affected and all others are scheduled to be reopened before September, 22nd.

In a tweet published hours ago, the CEO of Kucoin, said he was glad that the incident was dealth with in an open and transparent manner, always putting users first and it Kucoin looks forward to continue to safeguard users funds and bring more crypto hidden gems to the world as it always does.

Other than Kucoin, the report also revealed Uniswap saw a drop in web traffic of 25%, ZB.com  experienced a 32% drop in web traffic  while Huobi had a one-fifth decline in web traffic in the month of October, 2020.

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