2gether, one of the oldest cryptocurrency exchanges in Spain,
has suddenly blocked its operations, leaving its users without access
to their accounts. The platform informed it had to take this action due
to the current situation of the market in an email directed to
customers. In addition, the platform erased its presence from social
media, deleting its account on Twitter.
2gether Reports Bear Market Woes
The current downturn in the cryptocurrency market has affected
several cryptocurrency exchanges and lenders unable to return funds to
customers, having declared bankruptcy, or being in the process of
finding additional funding to keep operating. This time, one of the
oldest cryptocurrency exchanges in Spain, 2gether, has been the one
affected, blocking the access of customers to its platform.
The exchange reported
this situation to its customers via an email, where it stated that due
to the current market conditions, it was unable to continue to serve its
customers. The company explained:
After five years of serving the crypto community, we are forced to
close the private account service. The lack of resources and the crypto
winter prevent us from providing the service with the quality and
guarantees [with which] other nearby providers are doing it.
2gether looks to be the first Spanish cryptocurrency exchange affected in such a way by the current crypto climate.
Accounts Held Hostage
However, 2gether has not allowed its customers to withdraw their
funds to other exchanges or to self-custody wallets. Instead, the
company has closed its platform and has informed customers that, to keep
their accounts active, each one of them will have to provide the
equivalent of €20 ($20.35) to be collected by the exchange to continue
operating.
Accounts that don’t have this amount of funds available by June 10th
will be suspended, with the cryptocurrencies still available also being
liquidated. According to reports from Asufin, the Financial Users
Association of Spain, this action is affecting 100,000 customers that
trusted in 2gether to make their transactions and safeguard their funds.
The organization is preparing to initiate legal action in the name of
all of the customers of the exchange.
This situation might be used by regulators to press for the
establishment of clearer cryptocurrency regulations regarding the
actions of virtual asset service providers in the country. In May, Pablo
Hernandez de Coz, the Governor of the Bank of Spain, highlighted the importance of establishing such regulations in a quick way to avoid the risk of financial instability.
source link : https://news.bitcoin.com/spanish-exchange-2gether-blocks-operations-affecting-100000-users/
