- Hodlnaut said that it was not the subject of an investigation by the Singapore Police Force.
- It offered a summary of events in the judicial review case.
- The company paused withdrawals earlier this month and is facing a $193 million financial deficit.
Crypto firm Hodlnaut has announced that it is not the subject of an investigation by the Singapore Police Force, posting on Twitter a summary of events in its judicial review case.
Dear users, in light of the complexity of our Judicial Review case, we have penned a useful summary of the sequence of events reflected in the affidavits here: https://t.co/Qrd1SSdqHs.
Hodlnaut is not the subject of any investigations by the Singapore Police Force.
The company is facing a $193 million financial deficit, and it is currently working on financial restructuring to help navigate the troubles. The company asked the Singapore High Court to appoint Tam Chee Chong as the Interim Judicial Manager, but others involved in the case proposed other candidates instead. The court hearing for this IJM application is set for August 26.
Dear users, our legal representatives have attended our IJM application hearing on 22 Aug 2022. The Court has allowed us to share all affidavits pertaining to our cases. Here is our full statement https://t.co/ccteH8mXil. Our next update will be on 29 Aug 2022.
The next event that Hodlnaut talks about is the decision by the Singapore Court to allow the company to share affidavits in the case with users. The post reads,
“…our lawyers explained to the Singapore Court that…together with Hodlnaut’s affidavits filed in its proceedings against the Singapore Police Force…to be sealed from public access. We had requested this on the basis of upholding the confidentiality of the SPF’s investigations (in particular certain seizure orders made by the SPF) against Samtrade Custodian.”
The company plans to offer its next update on August 29. The next event will be the Interim Judicial Management application on August 26.
Hodlnaut and Others Experiencing Financial Troubles
Like so many other crypto platforms, Hodlnaut announced that it would pause withdrawals amid a bottleneck in liquidity. It followed this up a little over a week later by laying off 80% of its staff to reduce expenditure.
It joins the likes of Voyager Digital and Celsius Network in these troubles, and 2022 is shaping up to be a bad year for many of these crypto platforms. There have been investigations into all of these companies, and new reports seem to emerge every few days.
A Financial Times report said that Celsius lost over $100 million in a Grayscale Bitcoin Trust trade, and the company is undergoing an insider misconduct investigation by the Celsius Creditor Committee. Meanwhile, the Celsius token experienced a jump for a short time as social media users attempted a short squeeze.
As for Voyager Digital, the company has received court approval to return $270 million to customers. Meanwhile, Mark Cuban has been sued for an alleged role in promoting the platform.
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