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Crypto Startup Mode Announces Closure

UK-based crypto startup Mode has asked its clients to withdraw funds from the firm’s application.

Crypto Startup Mode Announces Closure

Source: Pixabay.com

The relevant content request was published on the company’s official Twitter page. The firm explained the need for the withdrawal of funds from clients by saying that the process of providing services will be completed in the coming weeks.

The crypto startup stops providing services to consumers for two reasons. One of the negative factors was, as the company’s representatives stated, unsuccessful financing. Also, the difficult situation in the markets had an impact on the termination of the provision of services.

Mode last raised 2 million pounds by issuing convertible credit notes in July 2022. This followed the publication of the firm’s positive financial results for 2021.

By the end of 2021, the number of clients of the crypto startup increased by 261% compared to the figure recorded a year earlier. At the same time, 70% of users received services on an ongoing basis, and not occasionally. Also in 2021, the firm’s trading volume increased by 732%.

Mode is headed by Rita Liu, former CEO of AliPay in the UK. During 2022, she made notable personnel appointments, including Dr. Jose Sanchez Loreda as Technical director. Also, last year, Mike Robertson and David Schreier joined Mode’s board of directors.

Previously, the company called its mission the promotion of an unprecedented wave of democratization and inclusivity. This is one of the reasons why the crypto startup decided to hold an IPO on the London Stock Exchange in October 2020. Mode has become one of the first financial services companies in the UK and around the world to go public and offer consumer digital assets.

In addition to expanding access to digital assets, the firm planned to unlock the potential of open banking, a revolutionary technology that will create a new payment ecosystem. But given the current situation, these intentions are unlikely to be realized in the near future.

As we have reported earlier, BNPL Startup Tabby Raises $58M to Expand Product Line.

Serhii Mikhailov

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Serhii’s track record of study and work spans six years at the Faculty of Philology and eight years in the media, during which he has developed a deep understanding of various aspects of the industry and honed his writing skills; his areas of expertise include fintech, payments, cryptocurrency, and financial services, and he is constantly keeping a close eye on the latest developments and innovations in these fields, as he believes that they will have a significant impact on the future direction of the economy as a whole.