Stock Groups

Crypto.com Sets Deadline For Repayment of Crypto Client Loans -Breaking

by Mike Robinson

[ad_1]

Crypto.com sets a deadline for the repayment of crypto client loans
  • Crypto.com announces an abrupt deadline to clients in countries that are restricted by the loan program.
  • It has updated the list of countries that are not allowed to be used by the firm, which now includes the United States and the United Kingdom.
  • The reason(s) for the sudden policy change is unclear, but many speculate it has to do with regulatory pressure or the firm’s recent splurge on marketing.

Crypto.com today announced a due date for those from restricted countries to pay their crypto loans. This deadline will be at 02:01 UTC on March 15th. The reasons behind the announcement are not yet known.

Crypto.com’s list of countries that are restricted has been updated to include the United States, United Kingdom and 38 other countries. The new policy states that if users do not repay their loans within the specified deadlines, their collateral may be sold by Crypto.com and their loan accounts will be closed.

The regulatory spotlight on cryptocurrency lending products has been there for just over one year. Numerous cryptocurrency companies received state regulators’ security violations notices. Gemini and Celsius were two of the most well-known crypto platforms. They came under investigation by U.S. Securities and Exchange in January 2018.

BlockFi received $100 million in penalties for providing clients with unregistered cryptocurrency loans products.

However, regulatory pressure isn’t believed to be the only motive behind the change in policy.

Another possible reason for the policy change could have to do with the exchange’s aggressive marketing drive and spending over the last year, which has sparked some concern given that the company, unlike many other cryptocurrencies “unicorns,” has not raised a lot of capital from investors.

Many clients are convinced that the sudden policy change by Crypto.com has something to do with the firm’s excessive spending on their marketing campaign, which includes millions being spent on celebrity endorsements, the purchasing of arenas, and much more.

Continue reading on CoinQuora

Disclaimer: Fusion MediaWe remind you that this site does not contain accurate or real-time data. CFDs are stocks, indexes or futures. The prices of Forex and CFDs are not supplied by exchanges. They are instead provided by market makers. As such, the prices might not reflect market values and could be incorrect. Fusion Media is not responsible for trading losses that may be incurred as a consequence of the use of this data.

Fusion MediaFusion Media or any other person involved in the website will not be held responsible for any loss or damage resulting from reliance on this information, including charts, buy/sell signals, and data. You should be aware of all the potential risks and expenses associated with trading in the financial market. It is among the most dangerous investment types.

[ad_2]