South Korean firm Haru Invest has paused withdrawals and deposits, citing issues with service partners. In a blog post, the company stated, “For the purpose of protecting our users’ assets under our custody, we have come to make a tough decision that any deposit and withdrawal requests will be suspended until further notice.” Haru Invest declined to name the specific partner that is impacting its operations.
Upbit, a South Korea-based exchange, said it would be limiting Haru Invest’s ability to withdraw assets on its platform. Local media report that Haru Invest’s office in Seoul is empty because employees are working from home for their own safety, according to a statement from its CEO Hyung-soo ‘Hugo’ Lee.
Eunkwang Joo, Haru Invest’s co-founder and former CTO, said in a tweet thread that the company may have had an “internal situation,” but it’s unlikely a malicious rug pull. Joo said that the closing of social media accounts was likely a legal response to some unknown situation. This might be a response to moves from South Korea’s regulator. Previously, Haru had invested $18 million into Montreal-headquartered miner Pow.re.