014 –The crypto payment infrastructure company Wyre Payments Inc. started the year in controversy and it was thought that it was about to close because of what was leaked in the digital press, where the CEO of Wyre, Ioannis Giannaros, told his employees during the end of the year vacations that the company planned to end its services in the first quarter of this year.
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The report quoted two anonymous employees, who confirmed an e-mail sent about a planned liquidation of the company. One employee stated that no severance payment had been confirmed.
Transportation company Bolt previously planned to buy Wyre for $1.5 billion, before pulling the plug on the deal in September 2022. Wyre has raised $29.1 million in nine rounds of funding, according to Crunchbase data.
Wyre, founded in 2013, is the latest in a string of companies caught in the fallout caused by the collapse of the FTX exchange along with broader macroeconomic conditions. But as anything can change at a moment’s notice it seems that the dark future that was ahead of it is no longer so dark.
The company appears to have reared its head and resumes withdrawals, plus lifts limitations after securing strategic investment. The injection of fresh capital reverses a 90% withdrawal limit that crypto payments firm Wyre implemented weeks ago.
The company announced last January that while customer withdrawals would be limited to no more than 90% of the funds in each account, they would be subject to the current daily limits.
The firm added: “This additional capital will help us continue to deliver on our mission to simplify and revolutionize the global financial ecosystem.” It is unclear who the strategic partner is, and Wyre did not immediately respond to a request for comment from the press.
The company also announced that its CEO, Ioannis Giannaros, would move to a different role, while Stephen Cheng, whose previous positions at the firm include chief risk officer and chief compliance officer, would take over as interim CEO.
Despite this rather bearish wave of news, Wyre’s unnamed strategic partner seems to be keeping the company afloat for now.