Crypto Earn Platform Haru Invest Freezes Withdrawals

[stompix]

Crypto Earn Platform Haru Invest Freezes Withdrawals, Citing Service Partner Issue
https://decrypt.co/144354/crypto-earn-platform-haru-invest-freezes-withdrawals-citing-service-partner-issue

The South Korea-based crypto earn platform Haru has halted withdrawals for a reported 80,000 users across 140 countries.
Haru Invest, a South Korean digital asset management platform, suspended withdrawals from its platform citing an “issue with one of the service partners.”
The firm announced Tuesday morning that the suspension was a “tough decision” taken to protect consumer funds while the firm figured out a “contingency plan to rectify the situation.”
Haru offers annual yields between 12% to 25% on five cryptocurrencies in Bitcoin (BTC), Ethereum (ETH), Tether (USDT), Circle (USDC), and XRP (XRP).

https://haruinvest.com/blog/statement/

We regret that several media articles on this topic contained information that are factually inaccurate. In particular, we like to ensure our investors that claims about “Rug Pull” mentioned in some reports are not true at all. We are now fully working on the matter, and committed to protecting our investors. We will provide you with further updates as soon as it’s available.

Meanwhile it seems they have deleted their Linkedin and YT profiles 

Seems like we might have a small chain effect in SK since another lending platform has paused withdrawals
https://cointelegraph.com/news/south-korean-bitcoin-lending-platform-delio-pauses-withdrawals

Founded in 2018, Delio reportedly holds an estimated $1 billion in Bitcoin , $200 million in Ether and approximately $8.1 billion in altcoins, data from its website revealed.

Should I add the not your keys, not your coins stop chasing 25% APY offers line? Not that people learn or are even willing to!

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[PX-Z]

25% really is so huge return, how the hell a business can earn from such liabilities to their users when the market is not so stable. Or its just a marketing strategy? Well, no they suffer the cons ^{(same as others)} of having such business on this space.

[o_e_l_e_o]

25% really is so huge return, how the hell a business can earn from such liabilities to their users when the market is not so stable.

The same as every other such platform which has collapsed over the past few months. They take your money and make hugely risky investments, loans, or bets. They take almost all the profits for themselves, and when it inevitably goes to shit it is the users who are left with nothing with the CEO and buddies all walk away with millions in the bank.

Look at FTX, Celsius, Voyager, BlockFi, etc. Same story every time.

[suchmoon]

Crypto Earn Platform Haru Invest Freezes Withdrawals, Citing Service Partner Issue
https://decrypt.co/144354/crypto-earn-platform-haru-invest-freezes-withdrawals-citing-service-partner-issue

Gotta love "crypto journalism". Quote some press releases, a few telegram trolls, done. I guess they can't afford to have their fiverr "journalists" spend 15 more minutes to provide any kind of background on the story. WTF is a "crypto earn platform"?

Anyway, no big loss here, I've never heard of Haru before this and don't particularly care whether it was a "defi" or a "bank" or a "shitcoin" type of deal or straight-up ponzi. Greed and stupidity will always find a way.

[examplens]

Anyway, no big loss here, I've never heard of Haru before this and don't particularly care whether it was a "defi" or a "bank" or a "shitcoin" type of deal or straight-up ponzi. Greed and stupidity will always find a way.

I am also hearing about this platform for the first time, and after I visited their site, the first thing I thought was that it was an obvious scam. However, it seems that they have considerable popularity, especially in Korea. The website is ranked there at #29,083 place. 250-350k visits a month is not an insignificant number.



What is most striking to me is some kind of cloud mining that they offer (I am very sceptical of this type of business). To whom does this sound realistic, mining without hardware, fixed dividend rates, 12% annually...

[worldofcoins]

Anyway, no big loss here, I've never heard of Haru before this and don't particularly care whether it was a "defi" or a "bank" or a "shitcoin" type of deal or straight-up ponzi. Greed and stupidity will always find a way.

To me it seems next level Bitconnect ponzi scheme that have their in-house traders to provide compound interest daily to the investors pretty much the definition of a ponzi site.
I wouldn't be surprised if we see more of these especially with their fancy names.

[electronicash]

if there is no news about this platform in the next months, then the investors who lost money understood it's all gone. 25% annually is big, any business that is doing clean with such APY will shutdown. those who stake will be lucky to have gotten back their original deposits. 

they have KYCed all the users in Haru, they know the details of everyone. if no one there poses a threat to Haru staff, they'd pull the rug.

[tabas]

I have never heard of them but many exchanges does have this type of feature, the earning feature. Well, on this website they've got the highest up to 25% and that's high.

if there is no news about this platform in the next months, then the investors who lost money understood it's all gone. 25% annually is big, any business that is doing clean with such APY will shutdown. those who stake will be lucky to have gotten back their original deposits.  

they have KYCed all the users in Haru, they know the details of everyone. if no one there poses a threat to Haru staff, they'd pull the rug.

That seems where it is going and if there have been a bunch of people deposited it there and have been attracted to what they're offering, that's sad to say that they have to be prepared mentally before hearing the announcement about those pending withdrawals and current deposits that are in there. There's already a sign that they'll run away with the balances because why they need to delete their socials?

[stompix]

Gotta love "crypto journalism". Quote some press releases, a few telegram trolls, done. I guess they can't afford to have their fiverr "journalists" spend 15 more minutes to provide any kind of background on the story.

It's something only a south korean would be familiar with and could gather more relevant information about, so that would probably be x10 times the amount earned from ads  .
I posted that link because that's how I've stumbled upon the story, otherwise, meh!!
Now that I'm browsing more news about seems like they were quite bg in SK, it's an almost closed market there so you won't hear too much about their exchanges and platforms although some could rival in volume with Bitstamp or Kraken for example.

WTF is a "crypto earn platform"?

It's a platform where you earn numbers on a screen while you lose bitcoins!

[yhiaali3]

It's a platform where you earn numbers on a screen while you lose bitcoins!

Yes, this is the correct description of the problem. Unfortunately, people love these large numbers on the screen that are constantly growing, but in the end they wake up to an illusion and catch nothing in their pockets. Only then do they regret and realize the value of Bitcoin.

This is not the first time and it certainly won't be the last, despite hundreds of completely similar incidents, every time the same story and the same scenario are repeated and people never learn, even if they learn greed draws them into a trap.

[arbiter5]

Always use custodial platforms with the assumption that they will one day freeze withdrawals. Always keep your funds deposited at a minimum.

[Husires]

In the past, they were a little clever, as they gave you high returns from a token, and when they could not pay, they reduced the value of the token.

The higher the platform gives APY, the greater the risk of bankruptcy, and on average, any platform that gives APY higher than the average of what banks in your region offer is a platform that may go bankrupt during the next two years, not to mention returns of 13% for all users in a market where there are no institutions that guarantee You get your money back if any problem happens. these things should be indicators to move away from these platforms and not to increase investment in them.

[LTU_btc]

Never heard about this platform before, but in general - nothing surprising to read these news. In recent months we heard so many similar stories about investing platforms falling down and I have no doubts that's not last one.
Up to 25% APY, c'mon, you can't be serious if you believe in it. Fancy looking investment platform, but in reality, it's not much different from cheap ponzi schemes that is promoted here on Invest based games board. It seems that people will never learn that you can get easy money without doing anything.

[AmoreJaz]

Never heard about this platform before, but in general - nothing surprising to read these news. In recent months we heard so many similar stories about investing platforms falling down and I have no doubts that's not last one.
Up to 25% APY, c'mon, you can't be serious if you believe in it. Fancy looking investment platform, but in reality, it's not much different from cheap ponzi schemes that is promoted here on Invest based games board. It seems that people will never learn that you can get easy money without doing anything.

high APY is the reason why they are getting a lot of naive investors. thinking that the platform can forever offer such return of their investments. we have seen a lot of this scenario, once a platform starts freezing withdrawals, doubt about their motive here. they will soon be abandoned and that's the sad part for most users who didn't get the chance to at least withdraw some of their earnings.
if you happen to invest in this type of platform, withdraw as much as you can. don't leave your earnings too long on their site. at least if they go bankrupt, you got something out of it and not totally lose your investments.

[Poker Player]

Up to 25% APY, c'mon, you can't be serious if you believe in it.

In general, if we were talking about fiat, just by the percentage alone we would know it was a scam. As the crypto world has had much higher returns, higher percentages did not scream scam in the beginning but we should use the same criteria: anyone who pretends to guarantee you a return of more than 10% per year, is either trying to scam you or does not know what he is doing.

And if we take into account that by lending Bitcoin you lose control of it, we will come to the conclusion that it is never worth doing it for a supposedly small extra % of profitability.

[Z-tight]

That seems where it is going and if there have been a bunch of people deposited it there and have been attracted to what they're offering, that's sad to say that they have to be prepared mentally before hearing the announcement about those pending withdrawals and current deposits that are in there.

People are attracted to the APY that they are offering without considering the risks of giving away the custody of their funds, once a platform or exchange can freeze or withhold the withdrawal of your coins, it is obvious that you do not own those coins, because whoever owns the funds should be able to withdraw or spend it anytime that they want to do so, not when it is made available to them.

[crwth]

It is not mathematically correct to do that 25% yield. It's something to entice users to deposit more so that they could pay more than the investors they have. It's not always going to be a sure thing to have, and imagine having that "too good to be true" aspect is already a red flag.

Better store your coins in a wallet that you can control.