South Korean crypto lending platform Delio stopped withdrawals on June 14 after the counterparty was infected.
Delio’s company officials stated that they will make a plan to compensate customers for the loss and stated that they will continue the withdrawals gradually. However, information about the amount and method of damage has not been given yet.
Delio Announces To Customers That They Are Working On A Recovery Plan
Delio is known as one of the largest crypto lending firms in South Korea. However, the company is reported to have about $1 billion worth of Bitcoin. The company had entrusted a significant portion of its clients’ funds to South Korean crypto income platform Haru Invest.
Haru Invest suspended deposits and withdrawals on June 13, alleging suspicions that certain information provided during the “internal audit process” was inaccurate. Jung Sang-ho, the CEO of Delio, claimed at the investor meeting last week that Haru Invest is heading for bankruptcy and stated that Delio will make a plan to recoup the loss.
Haru Invest filed a criminal complaint against service operator B&S Holdings on June 14 and announced that it would pursue its civil lawsuit. The company apologized for the concern and inconvenience it caused to customers and investors. The company stated that they will continue to work on this issue.
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