The Singapore High Court has released the Zipmex cryptocurrency exchange from lawsuits and claims of creditors for three months. This will allow the trading platform to come up with an effective financial plan.
Judge Aedit Abdullah has imposed a moratorium on filing lawsuits until December 2 against Zipmex-related companies that operate in Singapore, Thailand, Indonesia and Australia. Note that Zipmex sought a five-month legal defense against potential claims of creditors in order to more carefully formulate a restructuring plan.
Previously, the trading platform was forced to suspend operations due to volatile market conditions, which contributed to financial difficulties for the exchange’s partners, cryptocurrency lenders Babel Finance and Celsius Network. However, in July, Zipmex resumed making deposits and withdrawing client funds.
The court ruling will protect Zipmex from any potential lawsuits that could be filed against the exchange in connection with the decision of its management to abruptly stop operations. The moratorium also gives the exchange the opportunity to defer payments to creditors.
With this delay, Zipmex will be able to develop a more thorough financing plan, as well as streamline its financial strategies to pay creditors on time. In addition, the judge stated the need to involve a committee of creditors and hold a general meeting to resolve these issues.
Due to liquidity problems for many crypto lenders, a few days ago, the Thai government introduced amendments to the legislation, expanding the powers of the country’s Central Bank in regulating the cryptocurrency industry.
Source: Bits
I’m James Harper, a highly experienced and accomplished news writer for World Stock Market. I have been writing in the Politics section of the website for over five years, providing readers with up-to-date and insightful information about current events in politics. My work is widely read and respected by many industry professionals as well as laymen.
