The announcement claims CoinLoan is possibly the only company unaffected by the collapse of the Terra ecosystem and crypto hedge fund Three Arrows Capital, among others. Nevertheless, the company finds itself joining a number of other crypto lenders such as BlockFi and Vauld in freezing or limiting user transactions and withdrawals.
CoinLoan describes the new limits as “provisional,” and says it looks forward to lifting them as market conditions allow.
CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by Block.one; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk offers all employees above a certain salary threshold, including journalists, stock options in the Bullish group as part of their compensation.