Zipmex, an Asia-focused cryptocurrency exchange, planned to allow customers to make withdrawals by Thursday (July 21) after a one-day suspension caused by exposure to struggling crypto platforms Babel Finance and Celsius Network.
The platform, Zipmex, which operates in Singapore, Thailand, Indonesia and Australia, is the latest in a string of crypto players globally to run into difficulties following a sharp selloff in markets that started in May.
Zipmex said it had a combined exposure of $53 million to Babel and Celsius, of which Babel accounted for $48 million.
The exchange said it was in talks with Babel, which suspended withdrawals in June, but planned to write off its $5 million exposure to Celsius.
“Zipmex is exploring all available channels including fund raising, legal action and restructuring,” the company said in a statement.
Withdrawals in Thailand resumed late on Wednesday, except for transfers from one investment product, while the company said withdrawals would be restored in other Southeast Asia regions and Australia later on Thursday.
US-based Celsius filed for Chapter 11 protection on July 13, listing a $1.19 billion deficit on its balance sheet.
- Reuters, with additional editing by George Russell