• The Singapore high court has extended the creditor protection period for Vauld, a crypto lending platform, till February 28, 2023.
• Vauld filed for protection from Singaporean creditors due to the bearish market in 2022.
• Two digital asset fund managers have expressed interest in taking over the remaining Vauld assets.
The crypto space has endured a tumultuous period, with the market having been engulfed in a sea of chaos and volatility as a result of the bearish trend that has been prevalent since 2022. One of the companies that have felt the full brunt of this situation is Vauld, a crypto lending platform. Vauld has been facing immense difficulties in its operations, leading to the suspension of withdrawals on the platform. In a bid to protect itself from its Singaporean creditors, the company filed for creditor protection.
The Singapore high court has now granted Vauld an extension period of over a month to devise a revival plan on its present negotiations. This extension period will last till February 28, 2023. This will enable the company to complete all the necessary processes in its negotiations with the two digital asset fund managers who have expressed interest in taking over the remaining Vauld assets.
These two digital asset fund managers have indicated to Vauld that they are in the advanced stages of negotiations and need more time to conclude the process. This extension period is seen as a much-needed lifeline for the company and could help it return to profitability. It is also hoped that this period of protection will help Vauld to revive its operations, and ensure that the company does not succumb to bankruptcy.
The crypto space has been hit hard by the bearish market trend, with many companies being forced to file for bankruptcy. Vauld is one of the companies that has been affected by this, but it appears that the company may yet have a chance at making a comeback. With the extension period granted by the Singapore high court, Vauld will now have the time to work on its revival plan and negotiations with the two digital asset fund managers. This could prove to be the lifeline that the company needs to get back on track and return to profitability.