Bitcoin Magazine CEO David Bailey on Twitter warned of the imminent bankruptcy of one of the largest cryptocurrency custodians.
“Major custodian about to declare bankruptcy without last minute bailout. Take your Bitcoin off exchanges, even bitcoin only platforms,” Bailey wrote.
The warning appears to refer to Prime Trust, a custodial firm that offers token and fiat custody services in Nevada, USA.
Earlier, another crypto custodial firm, BitGo, was reported to have reached a preliminary agreement to buy Prime Trust amid rumors of its possible insolvency. Neither party had official confirmation of the deal.
FUD or is Bitcoin headed for another dive below $20,000?