P2P Bitcoin Exchange Paxful Back Online After Temporary Suspension

The platform shut down in April after the CEO expressed concerns about the safety of customer funds owing to a lawsuit from its co-founder.

AccessTimeIconMay 8, 2023 at 5:49 p.m. UTC
Updated May 9, 2023 at 4:13 a.m. UTC
10 Years of Decentralizing the Future
May 29-31, 2024 - Austin, TexasThe biggest and most established global event for everything crypto, blockchain and Web3.Register Now

Peer-to-peer (P2P) bitcoin exchange Paxful has resumed operations after being shut down for over a month, the company said in a blog post.

“After a month away, we’re happy to announce that the Paxful marketplace is back online,” the company wrote. “In early April, we faced a difficult decision to temporarily suspend the marketplace to protect all of our customers and Paxful’s future.”

  • Bitcoin Extends Rally as $1B in BTC Withdrawals Suggests Bullish Mood
    01:10
    Bitcoin Extends Rally as $1B in BTC Withdrawals Suggests Bullish Mood
  • 'Santa Rally' Could Spark Bitcoin to $56K by Year-End; PayPal Faces SEC Inquiry
    02:16
    'Santa Rally' Could Spark Bitcoin to $56K by Year-End; PayPal Faces SEC Inquiry
  • Bitcoin's Triangular Consolidation Offers Bullish Outlook: Technical Analysis
    01:10
    Bitcoin's Triangular Consolidation Offers Bullish Outlook: Technical Analysis
  • October Was 'Uptober' for Bitcoin
    00:37
    October Was 'Uptober' for Bitcoin
  • Paxful shut down in April after CEO Ray Youssef expressed concerns about the safety of customer funds as a result of a lawsuit by co-founder Artur Schaback, who sued Youssef and the company for wrongful termination, among other reasons.

    Shortly after the closure, CoinDesk spoke with both co-founders and multiple ex-employees and reported that their relationship had been difficult for a while and that the business suffered from severe lapses in management professionalism.

    According to Schabeck, who is looking for a settlement and wants out of the firm, Paxful is currently owned by a custodian, who serves as a director in addition to both Schabeck and Youssef.

    “Right now we need the custodian because he’s a tiebreaker; otherwise we’re in a deadlock,” Schabeck told CoinDesk.

    During the suspension, the company said the Paxful Wallet remained fully operational for users, who were also offered a selection of peer-to-peer platforms to continue trading on.

    Edited by Nelson Wang.

    Disclosure

    Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

    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 employees, including journalists, may receive options in the Bullish group as part of their compensation.

    Helene Braun

    Helene is a New York-based reporter covering Wall Street, the rise of the spot bitcoin ETFs and crypto exchanges. She is also the co-host of CoinDesk's Markets Daily show. Helene is a graduate of New York University's business and economic reporting program and has appeared on CBS News, YahooFinance and Nasdaq TradeTalks. She holds BTC and ETH.


    Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.