SpankChain was forced to shut down their cryptocurrency payment processor, SpankPay after failing to find a replacement service provider.
After losing its payment service provider Wyre in February and failing to find a replacement, the Ethereum-based adult entertainment site SpankChain is shutting down its cryptocurrency payment processor, SpankPay .
According to information released by SpankPay in February, Wyre, a cryptocurrency payment platform, had canceled its contract with the crypto payment processor to provide payment services due to “violations of any third-party payment processor or network rules.”
This was a “targeted shutdown,” according to the crypto payment processor, since Wyre’s new payment processor “doesn’t fit with the adult industry,” the company said in a March 20 article. It wrote:
“This came as a shock, seeing as our relationship with Wyre had been supportive and respectful up until this point”
Since then, the crypto payment processor claims, all searches for similar services have been unsuccessful because they “are in the adult industry.” SpankPay wrote in a Twitter thread:
“Operating SpankPay in a hostile banking environment has always been challenging, but the escalating attacks have become untenable for our small team and the niche market we serve,”
With its Ethereum-based SpankChain blockchain, adult content producers may avoid third-party middlemen like conventional banks, who have a long history of friction with the sector.
The crypto payment processor was introduced by SpankChain in July 2019. The adult-industry-friendly payment method made it easier for businesses and entertainers to accept cryptocurrencies in exchange for their goods and services.
The business informed consumers that “your money is safe and we’ll transfer it to you as quickly as we can” despite the shutdown.
“We encourage users to create crypto wallets and explore personal financial sovereignty. We’ll continue to develop and invest in products that advance the adult industry” it added.
