íàçâàíèå

Litecoin Takes a Dip as LitePay Ceases Operations

Litecoin Takes a Dip as LitePay Ceases Operations

Litecoin has taken a significant price hit since promised payment processor LitePay has informed them that it has closed up shop.

What Went Wrong?

On Monday, March 26 the Litecoin Foundation, a non-profit dedicated to the advancement of Litecoin and an investor in LitePay,  announced on its website that LitePay CEO Kenneth Asare informed them that LitePay had ceased operations and was being sold.

As news that LitePay had folded went public Litecoin dropped down to $141 having lost nearly ten percent of its value since 4:08 ET. Continuing on a downward trend of losing 28% this month and over 37% so far in the year according to CoinMarketCap.

Litecoin experienced a mid-February bump when LitePay announced its merchant payment processing system for Litecoin would be up and running on Feb. 26.

As the go date came and went LitePay eventually sent an email to customers on March 5 saying that it was “checking all perspective merchants” and suspending card registrations “due to the negative perception and drastic actions card issuers have towards cryptocurrency companies.”

This statement was in reaction to an announcement made by Mastercard and Visa that they were changing the way cryptocurrency transactions would be processed from purchases to cash advances resulting in more fees for users.

LitePay was supposed to be an easy way to make cryptocurrency transactions anywhere with only a couple of clicks of the mouse. It was also supposed to include LitePay Debit Cards. Cards that would enable users to transfer Litecoin units from any digital wallet to the card in order to pay for goods and services wherever major credit cards are accepted. It was also supposed to enable the exchange of LTC to any currency in the world via ATM.

Litepay has not sent out a customer update since the March 5 email.

Charlie Lee Reacts

The Litecoin Foundation said it had refused a request from Asare for more funding after his “Ask Me Anything” Reddit session raised serious questions about what the funding was for.

The creator of Litecoin Charlie Lee took to Twitter to express his disappointment and to apologize for not thoroughly vetting Litepay before throwing the support of the Litecoin foundation behind the venture, he wrote.

The declines Litecoin experienced on Monday were felt by other coins as well.  Bitcoin went under $8,000 as the all top ten Cryptocurrencies fell into the red according to CoinMarketCap.

The Litecoin Foundation looked to reassure it’s investors by posting “Litecoin was doing perfectly fine before the promise of LitePay and will continue to do so,” on its site.

27.03.2018 / 00:25 54
‘We Got Too Excited’: Charlie Lee, Litecoin Foundation Apologize After LitePay Vanishes ‘We Got Too Excited’: Charlie Lee,
Litecoin creator Charlie Lee and the Litecoin Foundation have each apologized for failing to conduct due diligence on LTC-based payment processing
Litecoin [LTC] Awaits Promising Days With its Potential for the Long Term Litecoin [LTC] Awaits Promising Days
The weekend started off very welcoming for the cryptocurrency market in general as almost all coins are in the green gaining zone. Any drop/decline
Litecoin’s Litepay Feature to Find Adoption in 2018 – Bullish Sentiment Litecoin’s Litepay Feature to Find
Like the leader Bitcoin [BTC] and all other following altcoins, the token-prices have been experiencing ups and downs very often in a very short
$200: Litecoin Price Leaps 25% Ahead of LitePay Launch $200: Litecoin Price Leaps 25% Ahead of
The Litecoin price leaped by nearly 30 percent on Tuesday in response to the announcement that payment processing startup LitePay would officially
Litecoin Price Cracks $235 as Rally Extends Another 16 Percent Litecoin Price Cracks $235 as Rally
The Litecoin price extended its rally on Thursday, rising 16 percent to briefly crack the $235 barrier and achieve its highest mark in a month.
Litecoin Price Posts Lonely Decline as LitePay Debit Card Launch Fails Litecoin Price Posts Lonely Decline as
The Litecoin price posted a lonely decline on Tuesday after LitePay’s much-anticipated debit card launch was scrubbed at the last minute and delayed
Comments (0)
Add a comment
Comment on