Struggling South Korean Crypto Yield Platform Dismisses Over 100 Employees (Report)

Haru Invest – a South Korean platform that provides various options to invest in cryptocurrencies – will reportedly lay off more than 100 members of its workforce. The layoffs will become official on June 23.

The decision comes several days after the company suspended deposits and withdrawals due to an issue with one of its service providers. 

• According to recent coverage, Haru Invest terminated the contracts of over 100 staff members. They received the news from CEO Hyung-soo Lee during a video conference.

“Due to the recent situation, normal company management is difficult. I made that decision,” he stated.

• Haru Invest’s sudden problems started in mid-June when it came across a “certain issue with one of the service partners.” As such, it paused withdrawals and deposits on its platform to ensure maximum customer protection.

• The company came up with another announcement earlier today, saying it will “be minimizing” its operations and those of its affiliated firms to prevent further damages following legal actions against B&S Holdings.
• The executive team vowed to inform about any future changes in the situation and provide all necessary help to its employees.

“We are currently finding the optimal platform to communicate with you regarding our operations. We will notify you once it is decided. And we will get back to those who have reached out to us,” it said.

• Haru Invest’s issues seemed to have caused a domino effect in South Korea since Delio – a leading crypto lending platform – also halted withdrawals. The latter maintained that the measure was taken due to the exposure to the former. 
• Delio later disclosed it will resume services in phases without providing specific date for it.