Wyre Imposes 90% Withdrawal Limit on Customers

UTC by Babafemi Adebajo · 2 min read
Wyre Imposes 90% Withdrawal Limit on Customers
Photo: Unsplash

The revision of the withdrawal policy is the latest in a series of moves the company is making to stay afloat.

Crypto payment provider Wyre has announced that its customers will only be able to withdraw up to 90% of their funds, based on its current daily withdrawal limit. The firm announced the revision to its withdrawal policy through Twitter.

It said, “While customers will continue to be able to withdraw their funds, at this time, we are limiting withdrawals to no more than 90% of the funds currently in each customer account, subject to current daily limits.” This means that any withdrawal requests beyond this limit will be rejected.

The firm also announced changes to its management structure. Former Chief Risk and Compliance Officer, Stephen Cheng was appointed as its interim CEO. Meanwhile, former CEO Ioannis Gianna will transition into the role of executive chairman.

Reason for New Withdrawal Limit

The revision of the withdrawal policy is the latest in a series of moves the company is making to stay afloat. The firm stated:

“We are exploring strategic options for our company that will enable us to navigate the current market environment and deliver on our mission to simplify and revolutionize the global payments ecosystem.”

After reports emerged that Bolt Financial’s planned buyout of Wyre fell through, the firm laid off 75 employees. One of these who spoke in confidence to Axios noted that this was done without any severance package. Another noted that the CEO had communicated a potential shutdown.

When asked to comment, Ioannis Gianna explained:

“We’re still operating but will be scaling back to plan our next steps.”

The End of an Era?

Founded in 2013, this may very well be the end of an era for Wyre. Some of its partnerships have already begun to crumble. Last week, MetaMask announced the end of its partnership with Wyre, removing Wyre from its mobile payments aggregator. MetaMask is also working to remove Wyre from its extension.

Whether or not it is the end, if Wyre goes down, it won’t do so alone. One company that will be particularly affected is Topps, an NFT collections company.

Topps suspended NFT transactions on its platform and announced to its customers that it was assessing the situation with Wyre. However, the firm reassured its customers, announcing that the collections remain safe and secure.

Blockchain News, Cryptocurrency News, News
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