Maple Finance is the latest crypto lending platform to face liquidity pressures, the company said Tuesday.
“There may be instances where there is insufficient cash in pools,” the company wrote in a note updated Tuesday.
Maple Finance lenders must wait for borrower repayments, the company said.
“As loans mature over the coming weeks, Borrower repayments will increase the available capital in the pools that can then be withdrawn by Lenders,” the note said. “Lenders will continue to earn interest and MPL [Maple token] rewards during this time.”
Delegates, who manage liquidity pools on Maple, plan to service all withdrawals over the “coming weeks,” similar to how the lending platform handled withdrawals around the time of Terra USD’s collapse in May, a spokesperson from Maple Finance said.
“By design of the protocol, cash can only be withdrawn when it’s available — we haven’t frozen withdrawals,” the spokesperson said. “Cash continues to flow in from deposits and repayments, so should...
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