3 months ago 2 min read

Wyre Changes Withdrawal Policy, Topps is forced to Temporarily Halt NFT Marketplace Transactions

wyre-nft-ioannis giannaros

Wyre has now announced that it is "modifying" its withdrawal policy, citing the crypto industry downturn and the "macroeconomic climate" as factors that have affected the company. When it was first reported that Wyre was shutting down operations, CEO Ioannis Giannaros offered a conflicting story, stating that the firm was merely "scaling back." Wyre announced on Friday that it is currently "exploring strategic options."

Crypto Industry Unrest: Topps Suspends NFT Marketplace Transactions, Wyre Modifies Withdrawal Policy

On January 4, three days prior, that Wyre, a cryptocurrency payments company, was ceasing operations. The announcement came after the $1.5 billion Bolt purchase agreement fell through and co-founder Michael Dunworth resigned from his position with the business. The community received an update from Wyre on January 6 that addressed rumors about the business.

Wyre said on Friday that "we have not been immune to the challenges of the current macroeconomic environment and the recent events that have shook the crypto business." In addition, the organization has a new management structure, with interim CEO Stephen Cheng replacing Ioannis Giannaros as executive chairman. Wyre also disclosed adjustments to withdrawals in its update, indicating that users' withdrawal amounts are now restricted.

"We're changing the way we handle withdrawals. Customers will still be able to withdraw money from their accounts, but for the time being, we are restricting withdrawals to no more than 90% of each customer's available funds, subject to the current daily limits, according to Wyre's update, which notes that "This will best position us to serve and maximize value for our customers and stakeholders."

Wyre's withdrawal issue has spread to other areas of the cryptocurrency market, as evidenced by an email from Topps, a firm that sells candies and collectibles, informing customers about the situation and how it affected the market for non-fungible tokens (NFTs). According to the Topps email, "you may have read reports that Wyre, a wallet service provider for our secondary marketplace, may be closing down or reducing back operations." Topps continued: "We have been evaluating the case, and as of today, Wyre released an official statement."

"As a result of this and as a precaution, we are immediately stopping all transactions in the shop and marketplace. You may relax knowing that your collection is still safe and secure."

Crypto blowouts and failures in the second half of 2022 caused a pandemic that extended to almost every area of the ecosystem. Several reputedly dependable crypto companies went bankrupt last year. It appears that 2023 won't be exempt from the terrible news either.

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