Estonia-based crypto lending company CoinLoan will limit withdrawals to $5,000 per 24-hour period to stave off a bank-run-style run, according to an announcement published on the company’s blog Monday. The policy was effective immediately.
The announcement claims CoinLoan is possibly the only company unaffected by the collapse of the Terra ecosystem and Three Arrows Capital, among others. Nevertheless, the company finds itself joining a number of other crypto lenders like BlockFi and Vauld freezing or limiting user transactions and withdrawals.
CoinLoan describes the new limits as “provisional,” and says it looks forward to lifting them as market conditions allow.