UPDATE GIGS MEDIAUPDATE GIGS MEDIA
  • Home
  • Entertainment
  • Business & Finance
  • Education
    • Scholarships
  • Lifestyle
    • Health & Fitness
    • Travel
    • Dating & Relationships
    • Do it yourself
  • Tech
  • Privacy Policy
Facebook Twitter Instagram
Facebook Twitter Instagram
UPDATE GIGS MEDIAUPDATE GIGS MEDIA
CONTACT US
  • Home
  • Entertainment
  • Business & Finance
  • Education
    • Scholarships
  • Lifestyle
    • Health & Fitness
    • Travel
    • Dating & Relationships
    • Do it yourself
  • Tech
  • Privacy Policy
UPDATE GIGS MEDIAUPDATE GIGS MEDIA
Home » Africa-focused crypto firm Paxful announces closure
Tech

Africa-focused crypto firm Paxful announces closure

adminBy adminApril 5, 2023No Comments2 Mins Read
Facebook Twitter LinkedIn Telegram Pinterest Tumblr Reddit Email
WhatsApp-Image-2023-04-05-at-12.56.19.jpeg
Share
Facebook Twitter LinkedIn Pinterest Email


Paxful, a global Bitcoin marketplace with strong roots in Africa, is shutting down operations and returning funds to users. The CEO, Ray Youssef, cited mass staff exits and increasing regulatory issues as reasons for the company’s closure.

The peer-to-peer Bitcoin platform is popular in Africa, with Nigeria and Kenya among the top countries on its volume-by-country list. According to Youssef, the exits were so bad that “there were no engineers, compliance team members, or security personnel left working at the company.” This situation painted a huge security risk that prompted the decision to close the company’s doors.

With this announcement, Paxful joins the list of US-based crypto companies that have had to shut down amid regulatory fire. Last Friday, Bittrex, a Seattle-based crypto exchange, announced its wind down as a result of regulatory challenges. Another US-based platform, Beaxy, was shut down by the Securities and Exchange Commission for operating an unregistered exchange. Even the crypto behemoth, Binance was sued last week by the Commodity Futures Trading Commission for violating compliance rules.

Advertisements

Youssef believes the US regulators “still don’t get it,” and are growing increasingly suspicious of crypto companies. However, several reports reveal that infightings may have contributed to the company’s problems.

Advertisements

Paxful’s cofounder Artur Schaback took to the courts to challenge Youssef and the company after, according to Youssef, he’d been kicked out over a year ago. Youssef said Schaback’s “nasty litigation team” forced the exit of senior staff members in the company.

With Paxful’s exit, the spotlight is again on African crypto companies, many of which are registered in the US. As the crypto winter continues for another year, we can only hope that the ripple effects of these shutdowns and regulatory actions are not ruinous for Africa’s crypto ecosystem.

TechCabal asked an anonymous staff of Quidax about the local implications of the struggling US crypto ecosystem. “We don’t do business in the US. Quidax is registered here in Nigeria,” the staff responded.

Get the best African tech newsletters in your inbox

More latest updates

  • 👨🏿‍🚀 TechCabal Daily – Fuel Rush
    👨🏿‍🚀 TechCabal Daily – Fuel Rush
    by admin●June 1, 2023
  • A last-minute increase of FG’s borrowing threshold raises concerns over rising debt
    A last-minute increase of FG’s borrowing threshold raises concerns over rising debt
    by admin●May 31, 2023
  • Kenyan content creators say that proposed new taxes amount to multiple taxation
    Kenyan content creators say that proposed new taxes amount to multiple taxation
    by admin●May 31, 2023
  • As new fuel prices hit N488 per litre in Lagos, Logistics startups will increase prices by 50%
    As new fuel prices hit N488 per litre in Lagos, Logistics startups will increase prices by 50%
    by admin●May 31, 2023

Share this:

  • Tweet
Advertisements

Advertisements

Related

Share. Facebook Twitter Pinterest LinkedIn Tumblr Email
admin
  • Website

Related Posts

South Africa approves $86 million for e-policing

June 3, 2023

Digital transformation is inevitable | TechCabal

June 3, 2023

Nigerian start-up Nearpays wins coveted fintech prize at Gitex Africa

June 2, 2023

Eyowo gives customers a new date for resumption of bank transfers

June 2, 2023

Eyowo gives customers a new timeline for license restoration

June 2, 2023

Ride-hailing customers, riders disgruntled over new prices

June 2, 2023
Stay In Touch
  • Facebook
  • Twitter
  • Instagram
  • YouTube
Don't Miss
Tech

Has NFT found its biggest mainstream proponent yet in Africa?

By adminApril 13, 2022

The past few days have been good for NFT in Africa—Nigeria and Ghana, to be…

Share this:

  • Tweet

👨🏿‍🚀 TechCabal Daily – MTN is accelerating mobile money in Nigeria

April 13, 2022

Didi shuts down operations in South Africa

April 13, 2022

Back from the future: How embedded finance changed the world

April 13, 2022

Can Hytch succeed where GoMyWay failed?

April 13, 2022

More African central banks are considering digital currencies

April 13, 2022

This bootstrapped drone startup is promoting smart farming in Zimbabwe

April 13, 2022

The Next Wave: Africa does not know itself

April 13, 2022

TechCabal Daily – Kenya’s new law for content creators

April 14, 2022

INDUSTRY EXPERTS DISCUSS THE GROWTH AND FUTURE OF FINTECH IN NIGERIA AND INDIA IN SYMPOSIUM BY CLI COLLEGE, NIGERIA AND CHRIST UNIVERSITY, INDIA

April 14, 2022

28 days after launching investment arm, Luno crosses 10m user base

April 14, 2022

👨🏿‍🚀 TechCabal Daily – The war for Twitter

April 15, 2022

Digital Nomads: Julian Owusu’s journey from football to fintech

April 15, 2022

In the wake of explosive accusations against Africa’s most valuable startup, Flutterwave co-founder speaks

April 16, 2022
Advertise with us
update gigs advert images
LATEST

South Africa approves $86 million for e-policing

June 3, 2023

Digital transformation is inevitable | TechCabal

June 3, 2023

Nigerian start-up Nearpays wins coveted fintech prize at Gitex Africa

June 2, 2023
About Us
About Us

We are dedicated to bringing you news from around the world that is entertaining, educative, informative and self inspiring.. Your source for the lifestyle news.

We're accepting new partnerships right now.

Email Us: updatemedia050@gmail.com

Subscribe to Updates

Get the latest news from Update Gigs Media about entertainment, sports, lifestyle, art, design and business.

Facebook Twitter Instagram
© 2023 Designed by Ntechy Digital System.

Type above and press Enter to search. Press Esc to cancel.