New Zealand crypto exchange Dasset faces liquidation, customer funds trapped

Key takeaways

Dasset denies customers access to funds

Auckland-based crypto exchange Dasset has denied customers access to their funds as it faces liquidation. This is according to a report by The Herald earlier today. 

According to the report, some customers have tens of thousands of dollars worth of crypto trapped on the platform. 

A customer told The Herald that they had been trying to withdraw $40,000 — their entire life savings — from their Dasset account for three months. However, their attempts had been unsuccessful. 

Another customer revealed that had been direct-credited by the company’s CEO, Stephen Macaskill. However, they were still unable to access the funds in their account. 

The CEO said the company has been unable to find a replacement banking provider after losing its previous provider earlier this year. He added that Dasset has gone into voluntary liquidation, and the company has appointed a liquidator. 

However, a liquidator hasn’t been approved, and the customers are still unable to access their funds. 

Dasset still accepting new users

The cryptocurrency exchange is still accepting new users despite a halt in withdrawals. 

The company has removed email addresses and phone numbers from their website. However, a request form is still available. 

Dasset is the latest in a long line of cryptocurrency exchanges to face financial challenges. Last year, FTX, one of the leading crypto exchanges at the time, filed for bankruptcy following some financial mismanagement by the CEO and other executives. 

Auckland-based Dasset exchange was launched in 2017. However, compared to Binance, which was launched around the same period, Dasset remains a relatively small cryptocurrency exchange.