Digital currency payment firm Wyre to shut down operations amid crypto winter

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Popular virtual currency payment processing company Wyre has announced plans to shut down operations within the next 30 days, Axios reports.

Axios revealed that two anonymous employees confirmed the matter to the media, saying they had received emails from the company’s CEO, Ioannis Giannaros. The CEO has confirmed that Wyre will wind down operations before the end of January after a difficult 2022.

Well, keep doing all we can, but I want everyone to prepare for the fact that we will have to unwind the business over the next couple of weeks, Giannaros’ email read.

The email did not reveal whether or not current employees will receive severance pay for the sudden termination of their contract, but there is swirling speculation that the company’s dire financial situation is reducing the chances of a severance. severance pay.

Wyre will not continue as a profitable business, the former Wyres technical engineer said after his dismissal on LinkedIn.

Wyre rose to popularity in 2021 at the height of the bull market, catching the attention of investors. A potential $1.5 billion acquisition with Bolt fell through following deep valuation write-downs due to gloomy macro conditions.

We will continue our existing business partnership with Wyre to pave the way for integrating crypto into our ecosystem, bringing Wyres’ innovative crypto infrastructure to the world, said Bolts CEO Maju Kuruvillasaid.

It is widely believed that the botched acquisition by Bolt, the prolonged bear market and the implosion of FTX may have affected Wyres’ finances. Axios reports that Wyre has confirmed that despite liquidation plans, the company will operate as usual, but will roll back to chart out next steps.

The list of digital asset companies going out of business grows

2022 has undoubtedly been one of the darkest years for the history books of the virtual currency ecosystem. Marked by implosions and overflows, a handful of companies have been forced to close their activities or file for bankruptcy.

FTX, BlockFi, Three Arrows Capital (3AC), Voyager Digital and Celsius Network are among the biggest companies forced to shut down following a tumultuous year. Zipmex, Hodlnaut and Vauld were caught in the eye of the storm, while other companies had to cut staff to stay afloat.

Experts have suggested that the full effects of the FTX collapse won’t be felt until 2023, urging industry players to prepare for more companies to bite the dust.

Watch: The Future of Trading and Investing in Digital Assets

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