Bit4You Suspends Operations After CoinLoan Declared Insolvent

• Bit4You suspended its operations after it discovered that CoinLoan, one of its service providers, was declared insolvent by an Estonian court.
• Estonian authorities issued a stop order on the 24th of April, preventing CoinLoan from releasing assets in the absence of a “temporary insolvency practitioner”.
• Bit4You listed out the assets and how much of them it had on CoinLoan, including 1097.5 ETH worth $2.1 million, 145 BTC worth $4.2 million, and 501 BNB worth around $166,00.

Bit4You Suspends Operations

Belgian cryptocurrency trading platform Bit4You has announced the suspension of operations after it discovered that CoinLoan, one of its service providers, was declared insolvent by an Estonian court.

CoinLoan Insolvency

The cryptocurrency trading platform learned about CoinLoan’s insolvency issues on the 24th of April. According to a blog post published by the crypto lender, it learned that CoinLoan no longer had the necessary registration to qualify as a digital asset custodian. The blog post stated that while they have no indication that funds held with CoinLoan would not be recovered; Estonian authorities issued a stop order on the 24th of April preventing them from releasing assets without a “temporary insolvency practitioner” being present.

CoinLoan Assets Held By Bit4You

In an effort to ensure transparency and keep users in the loop, Bit4You listed out the assets and how much of them it had on CoinLoan. This includes 1097.5 ETH worth $2.1 million, 145 BTC worth $4.2 million and 501 BNB worth around $166,00 as well as other assets such ADA CLT DOT LINK LTC USDT XLM XRP and XMR respectively.

Attempting To Resolve Situation

Bit4You assured users that it was doing everything in its power to resolve this situation as quickly as possible so to restore normal services for their customers again soonest possible time frame .

Conclusion

Altogether this article provides us with information regarding Belgian cryptocurrency trading platform Bit4You’s decision to suspend operations due to learning about major service provider CoinLoan’s lack of registration qualification as digital asset custodian which resulted in an Estonian court declaring it insolvent , however hopes are still high for customers‘ funds recovery since company is taking all necessary steps towards resolving this issue soonest possible time frame .