South Korean yield platform, Haru Invest, announced on June 13 that they would immediately halt deposits and withdrawals.
The company made this decision due to suspicions of false information provided by a consignment operator during an internal inspection process. The company sincerely apologized to its investors and customers for causing concerns with this announcement.
After a thorough investigation, Haru Invest determined that suspending transactions was necessary to protect their investors. They are currently gathering facts about the operator in question and plan to take appropriate actions.
Haru Invest also emphasized that there was no “rug pull” and that they are actively working to safeguard their investors. Earlier in the day, the company had disclosed an issue with one of its service partners and had been investigating the matter while seeking an alternative plan.
Local South Korean media reported that Haru staff were working remotely and had closed offices. One media outlet, Maeil Business, reported that investors were unable to access their deposits. They expressed frustration as the business operator was not regulated by financial authorities.
In response to specific media articles containing inaccurate information, the developers of Haru Invest expressed regret for the misinformation. According to their website, the platform has over 80,000 users, 9.8 million crypto-earn rewards, and a total transaction volume of $2.27 billion.
The company aims for a 12% annual yield on most of its earn products and previously raised $4 million in September with a valuation of $284 million.
