By Michael Scott
The San Francisco-based payments firm adjusted its withdrawal policy, capping outbound transactions to 90% of deposits held in each user account.
Wyre Imposes Withdrawal Caps
Citing the need to prioritize the community’s interest, the crypto payment firm modified the withdrawal policy to cap the deposits customers can access. Wyre’s statement conveyed via Twitter indicated that while users can access their funds, the withdrawals were capped at 90%.
In addition, the update indicated that customers should comply with the daily limits. The Twitter post echoed Wyre’s press release on its official website that capped withdrawals at 5 Bitcoin, 50 Ethereum, and 20,000 of USDC, Wrapped Ethereum (WETH), or DAI. Alternatively, users could only execute a capped daily fiat withdrawal of $150,000 or €140,000.
Wyre restated the devotion to exploring strategic alternatives that will ease the payment ecosystem. The statement outlined that Wyre is considering options to revolutionize the payments ecosystem and facilitate the firm’s navigation in the challenging crypto market.
The move to cap withdrawals and dictate the nature of outbound transactions is hot on the heels of the previous week’s speculation that Wyre was terminating operations in January. Nonetheless, Wyre dismissed the allegations lodged by former staff members. Instead, the crypto payment firm admitted scaling back operations to formulate the next phase amidst the prolonged winter.
Restructured Management for Wyre
Beyond imposing withdrawal caps, Wyre restructured its management. The move prompted chief executive Loannis Giannaros to become the executive chairperson role. Confirming the changes, Wyre’s statement indicated that Giannaros would offer invaluable guidance to steer the firm’s future.
Wyre’s statement added that Stephen Cheng would assume the chief executive role in an interim capacity. Lauding his input while serving as the firm’s chief risk and compliance roles, the firm’s statement portrayed his skillset as well-suited to steer the company in navigating crypto winter.
Wyre promised to sustain the current operations while updating the community regularly. However, Wyre is battling challenges beyond the withdrawal limit. Recently, MetaMask confirmed removing Wyre from the mobile aggregator. Removing Wyre from the platform will deny it access to users who directly purchased digital assets via the extension.