Litecoin Cryptocurrency Drops After LitePay Terminates

Litecoin Cryptocurrency Drops After LitePay Terminates

ENGLEWOOD CLIFFS, New Jersey – In a tweet by Litecoin cryptocurrency founder, Charlie Lee, he expressed regret for ignoring the warning signs that led to the downfall of the Litecoin virtual currency. He furthermore apologized for hyping up the company and swore to be more vigilant next time.

Litecoin plummeted after news of the closure of LitePay came up. LitePay is a merchant processor that converts Litecoin cryptocurrency into a specified currency for different transactions.  On Monday at around 4:08 P.M. ET, Litecoin dropped and traded approximately 10 percent lesser near $145, urging the Litecoin creator to issue an apology. So far, the popular virtual currency is down to about 28.5 percent for the month of March.

In the middle of February, Litecoin rallied fairly due to LitePay’s announcement that the Litecoin processing system would go live. LitePay further stated that it is still examining prospective merchants and is suspending card registrations due to the negative feedbacks toward cryptocurrency firms.

In an email to CNBC, LitePay CEO, Kenneth Asare, confirmed that the team is focused on creating ways for merchants to earn Litecoin as this virtual currency is branded for its effective payment schemes.

According to Litecoin Foundation, a nonprofit organization which invests in Litecoin and promotes the virtual currency, Litecoin was doing fairly well even before LitePay came into the picture. CoinMarketCap revealed that with $8.1 billion, Litecoin is the fifth largest virtual currency in as far as its market capitalization is concerned.

In an announcement made by Litecoin Foundation, it was revealed that LitePay CEO Asare informed the Foundation that he has apparently terminated all operations and is due to sell the establishment.  The foundation said it previously refused the request of Asare to provide extra funding after he was questioned as to how the funds were used.

For the last few months, the United States companies and regulators have already taken steps to monitor fraudulent cryptocurrency transactions. In fact, the Unites States Securities and Exchange Commission has started to freeze the assets of the people involved with token sales. Several cease-and-desist orders were issued by the state of Texas to apprehend negligent cryptocurrency companies.

About the author

Bradley Johnson

Bradley Johnson

Brad is a 32-year-old Entrepreneur and is passionate about Digital Marketing and Cryptocurrencies. He first started out as a content writer and then ventured into Internet Marketing. Bradley also works as a crypto investment advisor.