Nuri, German crypto bank, files for insolvency

Nuri informed that it has been facing a “lasting strain” on business liquidity in 2022 due to “significant macroeconomic headwinds and the cooling down of public and private capital markets.”

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Nuri is a crypto-focused digital banking platform, and it has announced last Tuesday it has filed for insolvency in a Berlin court, saying the move was “necessary to ensure the safest path forward for all our customers.”

However, some customers have reported difficulties while they were trying to withdraw their assets through Nuri’s mobile app.

Nuri stated on Twitter this has been the result of high traffic and usage and stressed that “funds are safe.”

“All funds in your Nuri accounts are safe due to our partnership with Solarisbank AG. The temporary insolvency proceedings do not affect your deposits, cryptocurrency funds and Nuri Pot investments which have been done with us,” the company said.

According to Nuri, “major macroeconomic headwinds and the cooling down of public and private financing markets” including the COVID-19 epidemic and the Russian invasion of Ukraine have put “lasting strain” on its company liquidity in 2022.

Nuri was formerly named Bitwala and is headquartered in Berlin, founded in 2015.

It offers crypto savings accounts, portfolio investment portfolios called Nuri Pots, and crypto trading services. Most notably, Nuri charges 1% trading fees on crypto trading.

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Nuri joins a large group of cryptocurrency companies that have experienced liquidity problems during the bear market of 2022 like Voyager Digital, Celsius, and Three Arrows Capital, Cointelegraph noted.

“We are confident that the temporary insolvency proceedings offer the best basis for developing a viable long-term restructuring concept in the company’s current situation. We will do everything in our power to ensure our vision, products and services, continue to serve you and future customers,” the company informed.