According to reports, a cryptocurrency payments company that was close to being acquired for $1.5 billion last year is preparing to cease operations. The broad market downturn, coupled with the Terra and FTX crises, is wreaking havoc among some struggling companies.
Wyre is the latest victim of the cryptocurrency winter
Wyre, which has been in business since 2013, entered into a $1.5 billion sale deal with online payments company Bolt in April last year. The deal was canceled in September in an incident that caused Bolt to lay off a third of its staff. Now, two former employees of Wyre confirm that the company is about to close. One of them, Wyre CEO Ioannis Giannaros, said via email that they will cease operations in January 2023. Another employee shared his thoughts on the company’s situation on his LinkedIn account:
I thought I could get back on my way. But it seems that life has more challenges to complete. I don’t think Wyre will continue as a profitable business.
Meanwhile, the company is still operating, according to CEO Giannaros; however, he said he has plans, including downsizing.
Wyre wasn’t the only victim of the crypto winter
In another sign of the market downturn, the end of an EmpireDAO’s tenancy at 190 Bowery in New York also illustrates the boom-and-bust nature of the cryptocurrency market. The move to evacuate the building comes less than a year after founder Mike Fraietta opened its doors to a community that has since opened its doors to a community that has amassed 1,500 members with 300 daily visitors, according to sources.
EmpireDAO is the latest in a series of initiatives aimed at bringing social clubs, NFT restaurants, golf courses, and fast Web3 communities to real-world spaces. Although founder Fraietta aimed to raise almost $250,000 to save the space through crowdfunding last December, the campaign’s site indicates donations only came in at $8,150 out of about 27 contributors. Donations will be refunded as the campaign fails to reach its goal. EmpireDAO is now desperately waiting to close in the middle of a bear market.
The news comes in the midst of a larger crypto winter, which is closing the momentum for many Web3 startups and finding new capital is difficult. When EmpireDAO started renting in March 2022, ETH’s price was around $3,140, ​​163% higher than its current price of roughly $1,210. Solana, which forms the basis of many projects working at EmpireDAO, has also been hit since March 2022; The SOL price has dropped almost 90%. cryptocoin.comWith a strong start of the new year that you follow from , it is now trying to regain some of the losses.
