On 13 March 2019, the Hong Kong Court ruled on shutting down cryptocurrency exchange Gatecoin because of its inability to meet financial obligations to their customers. After that, the following announcement was posted on the platform’s official resource.
Let’s recall the platform began having financial problems in late 2017. At that time the exchange creators signed a contract with a Payment Service Provider. According to the Gatecoin representatives, the provider failed to keep up their end of the bargain. That is why the financial operations froze for a long period. It caused great financial losses.
Last Fall the Gatecoin creators signed a contract with another provider, but the previous provider froze the platform’s funds. Lawyers who advised Gatecoin creators concluded that the probability of recovering funds was very low. Under the circumstances, the exchange got in a position where it is unable to meet financial obligations to their customers. The exchange is no longer functioning by the court’s order.
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