After a failed attempt to restructure, Hodlnaut, a Singapore-based defunct crypto lender will be <\/span>liquidated<\/span><\/a> by its appointed judiciary managers Aaron Loh Cheng Lee and Ee Meng Yen Angela.<\/span><\/p>\n According to an email published by renowned auditing firm EY, the liquidators have filed a winding-up order against the distressed crypto lender which has tried severally to avoid liquidation. Hodlnaut\u2019s efforts in this regard have failed as creditors were resistant to the proposal<\/a>. <\/span>These creditors said they preferred liquidation to Hodlnaut\u2019s proposed restructuring plans.<\/span><\/p>\n <\/p>\n Per a Bloomberg report, Algorand Foundation, one of Hodlnaut\u2019s creditors opined in a court filing that liquidation will \u201cmaximize the company\u2019s remaining assets available for distribution.\u201d\u00a0<\/span><\/p>\n There was also a plea to remove the two previously appointed judiciary managers but the court overruled this.\u00a0<\/span><\/p>\n Hodlnaut had downplayed its exposure to the Terra ecosystem which went down last year and took other crypto firms along with it. Its exposure to Terra led to the loss of over $190 million from the Hodlnaut platform as reported by Cheng Lee and Angela.\u00a0<\/span><\/p>\n <\/p>\n Soon after that, Hodlnaut informed its users of its decision to suspend withdrawals<\/a><\/span>\u00a0on its platform and retract its license application from the Monetary Authority of Singapore (MAS).\u00a0<\/span><\/p>\n <\/p>\n In order to avoid creditors\u2019 wrath amongst other reasons, Hodlnaut applied to be put under judicial management and this was where Angela and Cheng Lee came in as interim judicial managers.\u00a0<\/span><\/p>\n Meanwhile, Hodlnaut had requested for someone else to be its judiciary manager after the duo\u2019s discharge as contained in the latest letter. \u201cWe have applied for Mr Tam Chee Chong of Kairos Corporate Advisory Pte Ltd to be appointed as the Interim Judicial Manager.\u201d<\/span><\/p>\n The distressed crypto lender employed every means to ensure that it did not sell its crypto assets at a depressed price under forced liquidation. In the process, the company had to let go of about 80% of its workforce.\u00a0<\/span><\/p>\n The entire bankruptcy road was quite bumpy for Hodlnaut, a case that involved the Singaporean police who once claimed it made \u201cfalse representations relating to the company\u2019s exposure to a certain digital token.\u201d The final progress in the liquidation and bankruptcy proceedings is proof that there is light at the end of the tunnel for the firm\u2019s creditors.<\/span><\/p>\n Hodlnaut now is in line to join other lenders like BlockFi<\/a><\/span> and Celsius Network that have successfully exited bankruptcy<\/a><\/span>.<\/span><\/p>\n <\/p>\n \u2713 Share:<\/p>\n <\/a><\/p>\n <!– <\/p>\n <\/p>\n <\/a><\/p><\/div>\n<\/p><\/div>\n <\/p>\n <\/a><\/p><\/div>\n<\/p><\/div>\n<\/p><\/div>\n<\/p><\/div>\n –><\/p>\n –><\/p>\n Benjamin Godfrey is a blockchain enthusiast and journalists who relish writing about the real life applications of blockchain technology and innovations to drive general acceptance and worldwide integration of the emerging technology. His desires to educate people about cryptocurrencies inspires his contributions to renowned blockchain based media and sites. Benjamin Godfrey is a lover of sports and agriculture. Follow him on Twitter<\/a>, Linkedin<\/a> <\/p><\/div>\n<\/p><\/div>\n The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.<\/p>\n<\/div><\/div>\n<\/p><\/div>\n <!– <\/p>\nHodlnaut eyes winding up liquidation\u00a0<\/strong><\/h2>\n
Hodlnaut files for judiciary management<\/strong><\/h2>\n
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