2gether, one of Spain’s oldest cryptocurrency exchanges, has suddenly blocked its operations, leaving its users without access to their accounts. The platform informed that it had to take this action due to the current market situation in an email directed to customers. In addition, the platform erased its presence from social media, deleting its account on Twitter.
2gether Reports Bear Market Crisis
The current downturn in the cryptocurrency market has affected many cryptocurrency exchanges and lenders are unable to return funds to customers, after declaring bankruptcy, or in the process of finding additional funds to continue operations. This time around, 2gether, one of the oldest cryptocurrency exchanges in Spain, has been affected, blocking customers’ access to its platform.
The exchange notified its customers of the situation via an email, where it stated that due to the current market conditions, it was unable to continue serving its customers. The company explained:
After five years of serving the crypto community, we were forced to shut down the private account service. Lack of resources and crypto winter prevent us from providing quality and guaranteed service [with which] Other providers nearby are doing it.
2gether appears to be the first Spanish cryptocurrency exchange affected in this way by the current crypto climate.
However, 2gether does not allow its customers to withdraw their funds from other exchanges or self-custodial wallets. Instead, the company shut down its platform and informed customers that, in order to keep their accounts active, each of them would be provided the equivalent of €20 ($20.35) to be collected by the exchange to continue operations. Will have to do
Accounts that do not have that much funds available by June 10 will be suspended, as well as the cryptocurrencies that are still available. According to a report by Spain’s financial users association, Asufin, the action is affecting 100,000 customers who rely on 2gether to conduct their transactions and protect their funds. The organization is preparing to initiate legal action against all clients of the exchange.
This position can be used by regulators to establish clear cryptocurrency regulations regarding the actions of virtual asset service providers in the country. In May, Bank of Spain Governor Pablo Hernández de Coz highlighted the importance of establishing such regulations quickly to avoid the risk of financial instability.
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