South Korean Bitcoin lending platform Delio pauses withdrawals

The virtual asset manager and lending platform suspended withdrawals following challenges at Haru Invest, a similar entity.

Delio, a virtual asset manager and lending platform based in South Korea, has announced the temporary suspension of customer withdrawals “in order to safely protect the assets of customers currently in custody.”

The company made the decision in response to the recent suspension of digital asset deposits and withdrawals at Haru Invest, which has led to heightened market volatility and increased confusion among investors within the region. According to Delio, the suspension will remain in effect until “the situation and its aftermath are resolved.” A translation of the announcement read:

“In order to safely protect the assets of customers currently in custody, Delio will inevitably suspend withdrawals temporarily as of June 14, 2023, 18:30.”

Delio has reassured its clients that it will do its best to protect their assets “while quickly grasping the facts and aftermath related to this situation.” The company also pledged to provide regular updates through announcements regarding the forthcoming facts, measures taken to safeguard customer assets, and other related developments.

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Delio’s announcement comes at the heels of potential trouble at Haru Invest. On June 13, South Korean yield platform Haru Invest announced the suspension of deposits and withdrawals due to concerns over potentially false information provided by a consignment operator during an internal inspection. The challenges faced by Haru Invest have the potential to create a ripple effect on other platforms in South Korea, as Delio is ralready experiencing the consequences of this situation.

Founded in 2018, Delio reportedly holds an estimated $1 billion in Bitcoin (BTC), $200 million in Ether (ETH) and approximately $8.1 billion in altcoins, data from its website revealed. 

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