Skip to main content

Bitgo Abandons Acquisition of Prime Trust Amidst Nevada-Based Custodians Ongoing Uncertainty

Bitgo Abandons Acquisition of Prime Trust Amidst Nevada-Based Custodian's Ongoing Uncertainty

On June 22, 2023, Bitgo, a digital assets firm and crypto custodian, declared the termination of its planned acquisition of custodian Prime Trust. The company cited a “considerable effort” in attempting to chart a course for Prime Trust’s future.

Bitgo Cancels Prime Trust Acquisition

A fortnight prior, Bitgo announced its intention to acquire Nevada-based crypto custodian Prime Trust through a letter of intent. However, Bitgo has now called off the acquisition and will not proceed with the Prime Trust agreement.

“After considerable effort and work to find a path forward with Prime Trust, Bitgo has made the hard decision to terminate its acquisition of Prime Trust,” Bitgo said on Thursday. “This decision was not made lightly and Bitgo remains committed to our mission to deliver trust in digital assets.”

Before Bitgo’s choice to end the acquisition deal, Prime Trust’s subsidiary Banq filed for Chapter 11 bankruptcy protection. Additionally, on June 19, 2023, the official Twitter account for the TUSD project revealed that “minting through Prime Trust is still temporarily paused” while referencing an atmosphere of “uncertainty.”

Sources have also provided Bitcoin.com News with an email showing that on June 21, Prime Trust customers were informed that deposits and withdrawals were being suspended. “Please take action immediately to stop sending client custody assets to Prime Trust, especially digital assets,” the email advised.

As of 10:30 a.m. Eastern Time (ET) on June 22, Prime Trust’s Twitter account has made no mention of the issue, with its last tweet posted on May 5, 2023. Bitgo’s announcement on Twitter was made at 9:17 a.m. (ET) on Thursday morning. A tweet from TUSD and other sources has confirmed that Prime Trust has halted deposits.

What do you think about Bitgo canceling the deal to acquire Prime Trust? Share your thoughts about this subject in the comments section below.



from Bitcoin News https://ift.tt/gyhrYP2
Labels:

Comments

Post a Comment

Popular posts from this blog

Deep Web Roundup: Dream Adds Monero and Bitcoin Tumbler “Chip Mixer” Launches

The darknet has been quiet of late, which is the way it’s meant to be. No news means no mega busts, honeypots, or mass market shutdowns. Even when it’s out of the spotlight though, the deep web is quietly making news, whether trialling the latest privacy coins or the newest coin mixers that promise to restore a little of the privacy that’s being stripped away from bitcoin users on a daily basis. Also read: U.S. Agency ICE Conducts Investigations That Exploit Blockchain Activity The Battle for Privacy Heats Up Privacy is all relative, but of late there’s been relatively little privacy to be enjoyed by bitcoin users. Blockchain monitoring software is becoming more sophisticated and more common, with U.S. law enforcement agencies using it to profile and hunt down deep web users. Chip Mixer is a relatively new bitcoin tumbler that’s designed to restore some of that privacy. Available on both the clearnet and darknet, the service uses a variety of techniques to obfuscate blockchain m
10 comments
Read more

International Crypto Exchange Luno Adds Bitcoin Cash Trading

Luno exchange has added bitcoin cash trading to the platform following feedback from its client base. BCH is now only the third cryptocurrency available for trading on the exchange, in addition to BTC and ETH , but more options could be on the way once Luno determines that they are credible enough. Also Read: Bitflyer Adds Bitcoin Cash Trading Across Europe and the US Luno Adds Bitcoin Cash Trading Luno, the London-headquartered company formerly known as Bitx, recently announced that bitcoin cash was made available on its cryptocurrency exchange. Starting from Monday, September 23, customers at Luno are now able to store, buy and sell BCH on the platform. The reason given for adding BCH to the exchange is feedback from users in developing markets that convinced Luno to expand their offering from previously just BTC and ETH . Marcus Swanepoel, CEO of Luno, said , “We are in a new and exciting financial era. Developing economies are leading the large-scale adoption and appli
Post a Comment
Read more

Ombudsman Receives Complaints About Crypto Investments in Spain

The Spanish ombudsman has been receiving complaints about cryptocurrency and how some Spanish citizens investing in these vehicles have lost everything. In his annual report, Angel Gabilondo recognized the rise of cryptocurrencies as a new problem due to the little or no regulation crypto sees in the country. In the same way, the EU has also warned about these assets recently. Spanish Ombudsman Gives His Take on Crypto Angel Gabilondo, the Spanish ombudsman, has given his take regarding cryptocurrencies and the effects they have on citizens investing in some of these projects. Gabilondo said in his yearly report that cryptocurrencies have become “a new problem” during the year examined, with many people having lost all of their funds invested. The report states : Cryptocurrency exchange companies or platforms are not regulated in the legal system, are not subject to any public supervision system, nor do they benefit from deposit guarantee systems. The affected users that sought
Post a Comment
Read more