Vauld, a crypto lender based in Singapore, could be acquired by Nexo, a significant crypto lender (NEXO).
Vauld CEO Darshan Bathija made the announcement today, saying that the exchange had signed "an indicative term sheet" with Nexo to purchase "up to 100% of Vauld."
The CEO continued, "the completion of this transaction is pending due diligence - which both teams are working on as we speak."
Given that many "customers are nervous about" their funds, the company is reportedly "working tirelessly to ensure [users'] financials are protected" as a result of this move, according to Bathija.
"Vauld has strived to deliver long term value to all customers, and we believe coming under the Nexo umbrella will significantly help achieve this," he said.
The Block cited Antoni Trenchev, a co-founder of Nexo, as saying, "we have to see what exactly is on their books and it's going to take a little while. […] But since we have the [60-day] exclusive exploratory period, we are the only ones looking at them right now."
Vauld has "huge traction in India and Southeast Asia, which are important markets to us," the co-founder claimed, adding that this is why they are interested in it. According to Trenchev, Nexo is investigating Vauld's potential for restructuring or refinancing "so that it is functioning again, so that it is profitable within the Nexo umbrella."
Recently, Vauld, which is backed by Coinbase and other significant investors, announced that it had suspended all withdrawals, deposits, and trading due to "financial challenges" in the midst of continuing unfavorable market conditions.
Vauld was founded in 2018 and is supported by the Coinbase Ventures division, Pantera Capital, Valar Ventures, CMT Digital, Gumi Cryptos, Robert Leshner, the founder of Compound Labs, and Cadenza Capital. The majority of its workforce is based in India, and it has its headquarters in Singapore. Vauld announced that 30% of its workforce had been let go at the end of June.
The UK-based Nexo made a bid for the troubled Celsius Network's (CEL) assets back in mid-June, but it appears that the deal fell through.
By fLEXI tEAM