- Paxful resumes after a one-month suspension of operations.
- Peer-to-peer platform to unfreeze 88% of user accounts.
- Paxful has not made comments on CEO Ray Youssef’s position.
Paxful has returned to resumption after a temporary closure of operations since April. The peer-to-peer crypto marketplace unfroze the users’ accounts of 88% with the help of the platform’s CEO, Ray Youssef.
The CEO posted an update on the platform’s website to announce the relaunching of their marketplace after more than 30 days of operations shut down.
However, Paxful claims that their wallet remained completely operational despite the suspension of their service; there is still uncertainty surrounding how the platform plans to proceed now that operations have resumed.
Ray Youssef claims that the team has worked hard over the last month to ensure the safety and security of the platform’s users is kept as a top priority even as they get the marketplace back online.
Information found on court records showed that the platform’s CEO, Ray Youssef, and Co-founder, Arthur Schaback, threw accusations at each other over alleged misappropriation of the company’s funds, violations of the United States sanctions against Russia, and Money Laundering charges, all of which happened before Paxful suspended activities.
Ray Youssef hinted at the departure of key staff in Paxful due to the harsh environment the U.S. regulatory structure has provided. Paxful remained silent for most of the period when it was on a temporary shutdown, with Youssef claiming his final act as CEO of Paxful would be to unfreeze the account of 88% of certain user accounts.
However, Ray Youssef is still listed as the CEO of the website at the time of this writing, and the platform has yet to reach back to Cointelegraph to state its decision.
Paxful was in the news earlier in the year due to their dispute with Celsius over earnings from a partnership between both companies, which led to the CEO promising the affected users that he had personally taken charge of the situation and announced that the users who had participated in the earn programs would be duly refunded and also went on to explain that the funds of affected users would be made available for the exposed users to retrieve on the platform shortly.
Paxful did not disclose exactly how much of customers’ assets it would refund, but they made good on their words to unfreeze the accounts of users.
The CEO of Paxful, Youssef, said Celsius’s collapse affected countless users on Paxful and damaged their trust in the industry. Paxful, like other companies exposed to them, could not act in a way that benefited users as they were crippled by their inability to retrieve their funds locked up in the now-bankrupt Celsius.
Conclusion
Paxful has only just resumed operations, they have yet to make a move on their plans after the resumption of operations, and they have not commented on news platforms on the situation.
