Genesis Global Capital, Luno's lending partner for Savings Wallet yield, has halted withdrawals

[NarrowBandFtw]

Out of interest - is there any crypto company that’s suspended withdrawals that hasn’t gone bankrupt?

BlockFi suspended withdrawals and has not (yet) declared bankruptcy

EDIT: needed to alter the post as it incorrectly stated Crypto.com did the same, Crypto.com paused withdrawals and deposits for stable coins on the Solana blockchain specifically

 

[notayoba]

BlockFi and Crypto.com have both suspended withdrawals and not (yet) declared bankruptcy

BlockFi is busy preparing to declare bankruptcy as far as I can figure out.

 

[ubercal]

Just dump this crypto rubbish , and go invest with a normal investment company like (AG , coronation etc).You want to be greedy , then be prepared to loose it all

 

[NarrowBandFtw]

Just dump this crypto rubbish , and go invest with a normal investment company like (AG , coronation etc).You want to be greedy , then be prepared to loose it all

errr ... funny that if you held on to something that tracked the JSE all share index for the past 5 years you would be up a bit over 10%

"this crypto rubbish" over that same period would have you up more than 100% even now after the prices got ripped to shreds

which Allan Gray or Coronation investment has better 5yr returns than doubling your money?!?

 

[NarrowBandFtw]

BlockFi is busy preparing to declare bankruptcy as far as I can figure out.

that's the word on the street yes

hasn't happened yet as far as I know, not that it matters to me, had some BTC at BlockFi, Nexo and Celsius, when Celsius went tits up I took everything off everywhere else (including Luno which I trust more than those three) ... paid for those school fees the hard way, waiting for heaven knows how much longer to know how much I lost in Celsius' scam

 

[ubercal]

errr ... funny that if you held on to something that tracked the JSE all share index for the past 5 years you would be up a bit over 10%

"this crypto rubbish" over that same period would have you up more than 100% even now after the prices got ripped to shreds

which Allan Gray or Coronation investment has better 5yr returns than doubling your money?!?

time in the market uncle , 5 years is nothing.You should be tracking it over 20 years.Either way if you want to be rich , go get a better job and make more money.Investing can only make you so much money.

When it sounds to good to be true it usually is

 

[NarrowBandFtw]

time in the market uncle , 5 years is nothing.You should be tracking it over 20 years.Either way if you want to be rich , go get a better job and make more money.Investing can only make you so much money.

When it sounds to good to be true it usually is

20 years would be impossible to track given it only existed from 2010

how about the 12 year return then?

from one US cent to the current ~16,500 US dollar = 165,000,000% increase

anything from Allan Gray or Coronation beating a 165 million percent increase over the last 12 years?

 

[quovadis]

For those interested in the FTX meltdown this is quite a good read:

https://twitter.com/i/web/status/1593020859156865026

 

[furpile]

20 years would be impossible to track given it only existed from 2010

how about the 12 year return then?

from one US cent to the current ~16,500 US dollar = 165,000,000% increase

anything from Allan Gray or Coronation beating a 165 million percent increase over the last 12 years?

Crypto had massive gains because it is new, you cannot compare to normal stock performance. Rather compare it to penny stocks which have made lots of people very rich and lost lots of people a lot of money as well. Crypto is just the new penny stocks, choose a coin and hope it takes off.

 

[NarrowBandFtw]

Crypto is just the new penny stocks, choose a coin and hope it takes off.

that might have been the case 3 years ago when everyone and their dog launched an ICO

these days the shytcoins have mostly been weeded out en masse and those that remain are still getting weeded out, there are only two coins with market cap worth noting and both have been around long enough to prove they're unlikely to just vanish someday

investing in either of them for almost any timeframe at all would have you sitting on the kind of profit that beats anything else in the market, the biggest exception really is this year ... if you bought at or near the all time high then you're sitting on a loss

if you bought almost any time before then you've got more profit than had you been in the stock market for the same time period

 

[Jan]

BlockFi and Crypto.com have both suspended withdrawals and not (yet) declared bankruptcy

I don't think Crypto.com suspended withdrawals?

https://twitter.com/i/web/status/1592697087439011841

 

[SauRoNZA]

I see this is just for the savings wallet, not for the general wallet?

Correct.

But even so there is no concern for Luno customers as they took the responsibility on themselves some weeks ago foreseeing this kind of situation.

https://twitter.com/i/web/status/1592872064335372289

 

[NarrowBandFtw]

I don't think Crypto.com suspended withdrawals?

https://twitter.com/i/web/status/1592697087439011841

you're right, they had a more nuanced suspension which I seem to have forgotten the details of:

Crypto.com Halts Solana USDC and USDT Deposits, Withdrawals

The crypto trading platform cited “recent industry events” in an email to users announcing the suspension.

www.coindesk.com

so deposits and withdrawals specifically on the Solana blockchain got suspended, that looks much more like a prudent safety measure than a liquidity problem

 

[SauRoNZA]

Out of interest - is there any crypto company that’s suspended withdrawals that hasn’t gone bankrupt?

My reasonably uneducated understanding of this is that they don’t have the immediate liquidity to support the withdrawals and therefore suspended them basically to avoid an implosion and total loss of assets to their customers.

Not unheard of with normal stock exchanges and happens often enough without too much fuss.

Remember this is all being caused by FTX affecting the market, not Genesis themselves.

So I would imagine in the background it’s a case of releasing liquidity to be able to unpause withdrawals which takes some time.

Genesis (along with Luno) is supported by the biggest crypto conglomerate in the business, so if they go down the entire sector shits the bed.

But like I said I’m not an expert this is just the way I understand it.

 

[NarrowBandFtw]

Remember this is all being caused by FTX affecting the market

which is sadly enough to pull even seasoned players down along with it, seems it will be some time before all of this shakes out

fun times:
- when ICE3X went bust I felt smart for avoiding it and only trusting "proper crypto companies"
- when LUNA went bust I felt even smarter for calling it an obvious scam since inception
- when Celsius went bust I felt like a complete fool, I fell for the scam
- now with Vauld, Voyager, FTX, BlockFi (probably) bust and even O.G. players like Genesis suffering from the fallout I feel slightly less foolish that I fell for one of the scams ... but that doesn't restore my lost crypto

 

[quovadis]

Genesis (along with Luno) is supported by the biggest crypto conglomerate in the business, so if they go down the entire sector shits the bed.

So basically all eyes on Tether?

 

[Park@82]

I'm guessing after the FTX saga lots of people will be withdrawing asap because of uncertainty. I hope Luno would be able to cope...

 

[Wayne2k]

I just withdrew from my luno BTC savings wallet. No issues.

 

[Ndanileka]

"Not your keys, not your coins."
The only use for exchanges and custodial wallets is to convert your fiat.

 

[elp]

I don't suppose there is an accountant watching who would like to look at the proof of reserves audit for Luno at https://discover.luno.com/wp-content/uploads/2022/10/Luno-POR-Report-30-September-2022-1.pdf ?

Is it just me or was very little real verification done? To me it looks like nothing more than was done for FTX.