The year 2022, which witnessed a tough bear market, also caused many cryptocurrency platforms to go bankrupt and shut down.
While Terra-LUNA started this bankruptcy chain, it was thought to end with the collapse of FTX.
However, another closure news came from the USA. Cryptocurrency custody company Unbanked said in a blog post published today that they have decided to close Unbanked due to continued pressure from US regulators.
“Today we are making the unfortunate decision to close Unbanked.
When we founded the company in 2018, we knew that blockchain was the best way to transfer value in the form of cryptocurrencies or stablecoins.
However, at this point, it does not seem possible for us to continue due to the anti-crypto actions of US regulators.
To put it bluntly, US regulators are actively trying to prevent companies (banks and fintechs) from backing crypto assets.
At this point, All Unbanked customers and customers coming through our white label programs should start withdrawing all funds (crypto and USD) as soon as possible.
Unbanked has always kept client funds separate from business operations, and all funds are protected at a 1:1 ratio, regardless of the asset you hold with us.
We plan to leave the withdrawal function open for the next 30 days, but please do not wait to start withdrawals.
This includes wires to wallets, ACH, Plaid and crypto withdrawals, whether it's LTC, USDT, UNBNK or any asset your money is currently holding."
After this announcement by Unbanked, the company's native token Unbanked (UNBNK) fell by about 90%.
According to Coinmarketcap data, UNBNK, which was at $0.001872 before the closure decision, fell to $0.0001897 after the announcement.
*Not investment advice.
