To safeguard its clients’ funds, the South Korean digital asset savings and lending company Delio today suspended withdrawals. Due to a “sharp increase in market volatility and increased confusion among investors,” the company announced (in Korean) on its website that it would “inevitably suspend withdrawals temporarily as of June 14.
The notification from the lender made reference to South Korean earning platform Haru Invest, which had problems with a service provider on Tuesday and temporarily halted deposits and withdrawals. According to data from April 18th, Haru manages almost $1 billion in assets for its approximately 80,000 clients in 140 different countries.
On its website, Delio stated numbers that were comparable to these, stating that it had 41,743 BTC (equivalent to $1.1 billion) and 118,083 ETH (equivalent to $206 million) under control. Both of these platforms provide cryptocurrency savings accounts with rates that are more than 10% annual percentage yield (APY), while some of Haru’s products offer yields that are greater than 50% APY. Delio also offers crypto-backed loans, in which customers are required to furnish crypto collateral in an amount greater than the amount they want for a loan.
Delio has given its customers the assurance that it would make every effort to safeguard their assets. In addition to this commitment, the business said that it will give frequent updates in the form of statements detailing upcoming facts, actions taken to protect client assets, and other developments associated with this matter.
