Moolah Announces Bankruptcy Plan, MintPal Transition Amid Money Crisis

Moopay LTD, the digital currency services business better known as Moolah, has announced that it is shutting its doors and filing for bankruptcy protection.
The move follows the failed relaunch of the MintPal altcoin exchange, which, after weeks of preparation, was marred by chronic user and platform issues. According to Moolah, its closure stems from an unexpected rise in operational costs and the loss of critical business partnerships in the past month.
In its announcement, Moolah said that customer funds are secure and that users of its consumer and merchant money management platform can process withdrawals until 31st October, after which time Moolah will shut down.
The company also said that MintPal will continue to operate as a separate business, but prior to the appointment of a new leadership team will be put offline in order to address what the company called ‘critical errors’ in the platform’s security infrastructure.
At press time, the MintPal website was not accessible and contained a message reading that the new leadership, once in place, will release a statement.
Moolah CEO and founder Alex Green said that it no longer had the funds to continue functioning as a business after incurring high legal and operational costs during the past 10 months.
He told CoinDesk:

This post was published at Coin Desk on October 15, 2014.