• SpankPay, a crypto payment processor, announced that it is shutting down its services due to a hostile banking environment.
• The move was influenced by Wyre’s sudden termination of their agreement with SpankPay in February 2021.
• The company has been trying to find other alternatives but faced rejections due to the adult industry.
Crypto Payment Processor Shutting Down Due To Hostile Banking Environment
SpankPay, a crypto payment processor, recently announced that it is shutting down its services due to a hostile banking environment. The parent firm SpankChain cited the reason for the service closure and blamed Wyre for the sudden termination of their agreement back in February this year.
Wyre Terminated Agreement With Crypto Payment Processor
In its termination notice, Wyre identified SpankPay in its ‘Declined Line of Business Policy.’ Due to Wyre’s handling of its agreement, SpankPay called it a targeted approach. Further, SpankPay mentioned that they have been trying to get other alternative service providers to support their business but faced rejections due to being part of the adult industry. Checkout.com was one of the companies that rejected them.
SpankPay Lamented Hostile Operating Environment
The payment processor lamented how challenging it has been to operate in such an unfriendly banking environment with a small team and niche market. Despite this, the service assured users of safety regarding their funds and are currently working on getting all customers’ funds from them before closing operations completely.
Alternatives For Customers To Manage Personal Finance
They urged customers to opt for digital wallets and explore other possibilities for managing personal finance while they close operations completely soon enough. Furthermore, they plan on developing more projects based on financial infrastructure but do not have any concrete plans as yet since their main focus is still returning user funds safely over these days ahead as they wind down operations gradually..
The shockwaves from these incidents have been felt throughout the cryptocurrency space with certain events like enforcement actions and hacks leading many businesses towards an uncertain future with regard to trustworthiness within the community as well as regulatory uncertainty when dealing with banks or financial institutions in general . Nonetheless , there remain those who seek solutions which can provide better security for assets even within such an unforgiving ecosystem .