Bitstamp makes a U-Turn: Cancels plan to charge inactive users

Bitstamp, a Luxembourg-based crypto exchange, had announced that they’ll charge an inactivity fee for customers. However, after a customer backlash, the crypto exchange has axed the plan.

CEO of Bitstamp JB Graftieaux said, “We have heard the response from our customers to the inactivity fee. We have taken everyone’s concerns on board and have decided to cancel.”

He further added, “Listening to our customers is part of our service DNA.”

Last week, the crypto exchange announced that they will charge 10 euros per month for accounts with a balance of fewer than 200 euros and no activity in 12 months. They did so because “keeping inactive accounts on the books is a cost.”

Many thought that the crypto exchange made this move due to the current market conditions. However, acknowledging the current headwinds across crypto markets, the exchange eased concerns. They said that customers need not worry about its financial position.

According to them, they have “zero exposure” to any of the companies currently under stress. This is a relief for crypto markets that have seen many crypto firms dissolve and dire need help.

This all started after Celsius Network, a popular crypto lending firm, stated that it had paused withdrawals and transactions on its network. The firm did so due to “unfavourable market conditions”. Following that, Vauld, another crypto lending firm, announced that it’ll pause transactions on its network due to “unfavourable market conditions”.

However, things went south for Vauld after the firm announced its restructuring plans. The firm has already applied for bankruptcy and is looking for a partner to assist in restructuring.

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