Bitvavo debt of 280 million euros: the CEO responds to the situation

big Crypto news Yesterday that was the Dutch cryptocurrency exchange Petavavo He has a problem with his $280 million price tag. from a hadeeth an interview van Quote With Mark Nuvelstijn, CEO of Bitvavo, it looks like the problems will ultimately not be so bad for the customers themselves.

“We will always pay Bitvavo customers”

to FTX Yesterday’s news was definitely a shocking memory. Bitvavo will receive another €280 million from cryptocurrency lending platform Genesis, an amount it cannot repay due to liquidity issues. A painful blow to an exchange like Bitvavo.

However, in the interview with Quote, Nuvelstijn was clear: “We promise to always pay our customers if needed.” Yesterday, the exchange had already announced that it would fill a gap of 280 million euros itself, if the money did not return at all.

Quote asked the CEO if this meant Bitvavo had $280 million in savings, to which Nuvelstijn simply replied “yes.” That should sound fine to many Bitvavo users. This means that the trading platform can absorb the blow.

Bitvavo has no creations other than DCG

Also reassuring is the fact that Bitvavo has no other similar builds with third parties like DCG. Digital Currency Group (DCG) is the parent company under which Genesis sits. It is therefore unlikely at this time that we will read similar news reports of large sums linked to third parties.

Earlier, the cryptocurrency exchange announced that it is not at risk from the situation on Genesis. “We didn’t know it was a problem,” Nuvelstijn says, and that the company was primarily interested in finding a solution for customers. The CEO’s words now show that there is a solution. If DCG can’t pay back the €280m, Bitvavo will raise the amount itself, a luxury it owns with a number of good profitable years behind it:

“Bitvavo received a total of 175 million euros in 2021. In addition, we have always done well in previous years ”- Bitvavo CEO told Quote

Want to read more about this Dutch cryptocurrency exchange? Read here Bitvavo review On Crypto Insiders.