Digital asset financial services firm EQONEX files for voluntary liquidation in Singapore

EQONEX, a Nasdaq-listed digital asset financial services company, said in a filing with the U.S. Securities and Exchange Commission that its Hong Kong-based entity Diginex has entered voluntary liquidation by creditors, and that Eqonex Capital, based in Singapore, is expected to enter voluntary liquidation as well. EQONEX announced on November 15, 2022 that "there is material uncertainty about the Group's ability to continue as a going concern and the sufficiency of the Group's working capital to meet its short-term financial obligations. In order to resolve these liquidity issues, the EQONEX Group has been negotiating with potential investors Obtain equity financing through the issuance of new shares, and negotiate with Bifinity to seek, among other things, to waive the default and revise the loan agreement. Unfortunately, the financing plan has not been successful.” EQONEX signed a strategic partnership with Binance’s payment technology company Bifinity in March relationships and begin preparing to specialize in custody, brokerage and asset management. Bifinity agreed to provide a $36 million loan convertible into equity, and Eqonex also announced the appointment of Jonathan Farnell, formerly head of Binance UK and CEO of Bifinity, as its new CEO. However, Bifinity withheld the fifth loan due to a technical breach of the loan agreement. EQONEX ceased its crypto exchange trading operations on August 22, citing “recent extreme market volatility and a drop in trading volume.”