Delio, a South Korean digital-asset platform, said it has suspended customer deposit and withdrawals, becoming the second site offering high yields to investors to do so this week.
“In order to safely protect the assets of customers currently in custody, Delio will inevitably suspend withdrawals temporarily as of June 14,” the platform said in a notice on its website in Korean, citing a “sharp increase in market volatility and increased confusion among investors.”
James Jung, Delio’s chief executive officer, didn’t immediately respond to a request for comment. Delio’s website shows it has 41,740 Bitcoin worth roughly $1.1 billion and 118,033 Ether, which is worth about $206 million, under management.
Haru Invest, which promised returns as high as 50% in some cases, paused deposits and withdrawals until further notice while citing “a certain issue” with one of its partners, according to a blog post Tuesday by the Singapore-based company. Haru said it had about $1 billion in assets under management. The firm, which was founded in South Korea, hasn’t returned requests for comment.
Delio offers a few crypto saving products promising returns of more than 10%. Customers can usually gain higher returns by locking in deposits, which are typically digital assets that are often lent out to borrowers such as hedge funds.
“Delio will do our best to protect the assets of our customers while quickly grasping the facts and aftermath related to this situation. We will continue to inform you through announcements regarding the facts to be identified later, protection of customers’ assets, and measures for this,” the company said.
