Haru Invest Considers Server Suspension as Troubles Persist
In the wake of halting withdrawals in June, Haru Invest, a Singapore-headquartered cryptocurrency platform, is contemplating the suspension of its server. This decision is part of the firm’s ongoing efforts to streamline operations and reduce maintenance costs.
Cost reduction
CEO Hugo Lee made the announcement on Monday, underscoring the significant burden of server maintenance costs on the company’s finances. He acknowledged that this cost represents a substantial portion of their fixed expenses and is thus a top priority for the firm.
Lee disclosed:
“We plan to suspend the service in a few weeks, backing up all member information.”
However, he also noted that the company is yet to finalize a concrete plan for the server suspension.
The move to shut down the server aligns with Haru Invest’s broader strategy to lower all costs associated with its services. Lee explained:
“Some of the current fixed expenditures include the upkeep of Haru Invest services, the cost of workspace like the office, and the cost of communication with our members.”
The company is actively seeking ways to reduce these expenses and preserve its assets.
Asset distribution
Additionally, Lee assured users that the assets conserved thus far would be included in the distribution to those who have had their funds locked on the platform since June, offering a glimmer of hope to impacted users.
Nevertheless, the announcement of the server suspension has raised concerns within the Haru Invest community. Some users have expressed skepticism about the purported high costs of server maintenance, believing the firm’s claim to be exaggerated.
One user, voicing this discontent, commented on Haru Invest’s Telegram channel, “Server costs cost nothing.” Another remarked: “Servers are gone soon guys, huge costs, 200 USD a month.” According to industry standards, the maintenance costs for running a server for a small to medium-sized business typically range between $35 to $500 per month.
Unhappy platform users
Lee’s statement regarding the impending server suspension follows the platform’s earlier decision to terminate deposits and withdrawals in June. This decision was coupled with the closure of Haru Invest’s offices and the dismissal of numerous employees, as reported by local news agencies.
Haru Invest attributed these issues to the fraudulent activities of the consignment operator B&S Holdings, formerly known as Aventus. While some investors accused the firm of orchestrating a “rug pull,” Haru Invest denied these allegations and maintained its innocence. One user posted the following claim on X (formerly Twitter) last week: “Rugpull. If justice is served, the scammers will be behind bars.”
In a bid to address concerns over its corporate rehabilitation application, Lee appeared in court in September, emphasizing that Haru Invest was actively cooperating with investigating agencies. However, the company has yet to provide a timeline for the recovery of users’ assets as of early October.
Lee also addressed the matter in Monday’s statement: “We are also responding to the rehabilitation proceedings that some of our members have filed with the court as mentioned in our previous announcement, in addition to actively cooperating with other authorities’ investigations. ”
Haru Invest is reportedly facing a class-action lawsuit with disgruntled investors alleging fraud.
