Crypto administration app Pillow has determined to wind down its companies and its app. The corporate revealed its determination to close its app late Tuesday through an in-app notification despatched to all of its current customers.
“On account of regulatory local weather and its influence on related monetary infrastructure, we remorse to tell you that Pillow goes to be discontinuing its companies from Jun 22, 2023,” it mentioned within the notification.
The Decrypting Story has seen a replica of the issued notification.
“Your funds are protected at Pillow however we’d urge you to withdraw it on the earliest to facilitate a seamless transaction,” the corporate mentioned. A separate pop-up on the app knowledgeable customers that the corporate plans to take away the app from Google Play Retailer in addition to the Apple App Retailer by July 31.
It’s going to allow person financial institution withdrawals till July 7, whereas crypto withdrawals through the platform will likely be obtainable until July 31.
Queries despatched to Pillow stay unanswered on the time of writing of this piece. It is going to be up to date to replicate its response.
Final 12 months, Pillow—led by Arindam Roy, Rajath KM, and Karthik Mishra—raised $18 million in a Series A funding round from a clutch of traders that included Accel, Quona Capital, and Leap Capital. In 2022, the corporate claimed to have a person base of practically 75,000 unfold throughout India and Nigeria.
On the time, it promised customers a 14% APY (annual proportion yield) return on property invested into the app via any of its instances.
Since Pillow revealed that it could be shutting down its companies, a number of customers have tried to withdraw their funds from the app. Some have been dealing with bother with withdrawals.
One person who shared their withdrawal information with The Decrypting Story on the situation of anonymity revealed that some requests to withdraw had been pending from as early as October. A number of different customers have taken to Twitter to share their incapacity to take away funds from the app with lengthy delays. Nevertheless, the app says withdrawals can take as much as 5 days to be accomplished.
Advert campaigns selling the corporate’s companies in Nigeria, notably on Google, appear to stay energetic.
The corporate’s jobs web page nonetheless lists a number of roles for which it’s hiring. It’s nonetheless unclear what the app plans to do.
Pillow is not the primary firm to alter monitor following the downturn in cryptocurrency markets. One other competitor within the area, Flint, additionally determined to pivot its yield-bearing service to launch GasPay, a Web3 resolution that permits customers to pay fuel charges in any token. Flint additionally cited regulatory hurdles as a purpose to wind down its companies.
(This story has been up to date to replicate a change within the firm descriptor.)