The South Korean-based digital asset savings and lending firm, Delio, previously involved in the Lugpool controversy, temporarily halted withdrawals two days ago, and recently announced its intention to gradually resume withdrawals in a phased manner.
At an investors briefing, Delio CEO Jeong Sang-ho shared that the company intends to reintroduce withdrawal services in a gradual manner. It’s important to note that the situation is subject to change, as it is contingent upon the developments involving Haru Investment and B&S, two entities closely linked to Delio’s operations, as highlighted by the CEO.
During the acknowledgment, Jeong recognized that Haru Invest’s ongoing bankruptcy procedures raised uncertainties about the initially promised rate of return for deposit products. However, despite these challenges, the CEO reassured investors that strategies were being devised to recuperate the incurred losses.
In an effort to compensate for the losses, Jeong affirmed Delio’s dedication to acquiring additional capital, which may include exploring a paid-in capital increase from a third party. While this statement aimed to bolster investor confidence, the CEO did not provide specific information regarding the timeline for repayment.
According to Delio CEO Jeong Sang-ho, “While I cannot disclose specific timing at this moment, rest assured that we are working diligently to address these issues and communicate further updates through an investor representative meeting.”
