Zipmex is the latest in a long line of cryptocurrency players to face difficulties following a market sell-off.
Zipmex, a Southeast Asia-focused cryptocurrency exchange, has suspended withdrawals, the company said in a Wednesday night tweet citing liquidity issues at crypto lenders Babel Finance and Celsius.
Zipmex, which claims to operate in Singapore, Thailand, Indonesia, and Australia, is the latest in a long line of crypto players to face difficulties in the aftermath of a sharp sell-off in markets that began in May with the collapse of two paired tokens, Luna and TerraUSD.
The suspension was attributed to “volatile market conditions and the resulting financial difficulties of our key business partners,” according to the company’s tweet.
Zipmex Thailand CEO Akalarp Yimwilai said in an online Livestream on Wednesday evening that the local affiliate’s problems stemmed from problems at Singapore-based Zipmex Global, whose partners included Babel Finance and Celsius.
Zipmex Global and its CEO did not respond immediately to requests for comment. The relationship between Zipmex Global and Zipmex Thailand was unclear at first. Akalarp stated that Zipmex Thailand had resumed operations except for transactions related to one investment product.