Crypto Lender ‘Hodlnaut’ Suspends Client Withdrawals

Hodlnaut, a cryptocurrency lender based in Singapore, has suspended all client withdrawals and deposits.

The company also said it would withdraw its application for a licence from the Monetary Authority of Singapore (MAS) to provide cryptocurrency payment services.

The troubles with Hodlnaut come amid mounting signs of stress within the cryptocurrency sector.

The company is the latest in a string of cryptocurrency concerns to experience problems following a sharp selloff in digital coins and tokens that began in May of this year.

Hodlnaut said it is halting withdrawals in order “to focus on stabilising our liquidity and preserving assets.”

Other recent high-profile failures in the cryptocurrency sector include U.S. lender Celsius, and Singapore-based fund Three Arrows Capital, both of which filed for bankruptcy in July.

Hodlnaut was an institutional client of Celsius, according to court filings.

Singapore, a major centre for cryptocurrency trading in Asia, has seen several companies run into problems since the spring. Vauld, a Singapore-based cryptocurrency trading platform, suspended withdrawals in July.