Dezy Pte Ltd UEN: 202116623N, 
68 Circular Road #02-01, Singapore 049422

Dezy discontinues SGD & XSGD yielding services.

Eric Dadoun

CEO at Dezy
Published on 31.10.2022
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One step back, two steps forward. 

This is the situation we find ourselves in at Dezy considering the fluid nature of building a startup and the immensely fluid environment in which the crypto ecosystem exists.

We regrettably are announcing the sunsetting of our existing CeFi platform. Before we get into the why and what comes next, let’s first confirm what this means for our existing users.

100% of user funds are safe, secure and ready for withdrawal.

  • You will notice that your next bonus milestone has already been credited to your account regardless of where you were on the rewards journey.
  • The 30 day lock-up period on bonuses has been removed.
  • Your balance with Dezy is still accumulating yield and will continue to do so until the 15th of November 2022.
  • Any user who has already submitted their information for KYC verification will be processed and credited with the sign-up bonus as well as any referral bonuses (if applicable).

Some additional notes to make regarding existing users and existing features.

  • Apart from the bonuses already credited to accounts as mentioned above, rewards journeys are discontinued effectively immediately.
  • Bonuses associated with quizzes are discontinued effective immediately.
  • New deposits are discontinued effectively immediately.
  • New sign-ups are discontinued effectively immediately.

We would like to again confirm that 100% of user funds are safe, secure and ready for withdrawal.

To address any questions related to the above and items mentioned later in this blog we will be hosting an AMA on the 3rd of November at 6pm SGT in our Discord.

So, why and what next?

Let’s start with the why.

As everyone reading this is likely aware, the CeFi sector of the industry has experienced a hellacious series of events over the past half year due to corporate irresponsibility, founder irresponsibility, greed, dishonesty towards customers and outright egregious behaviour across the board. Celsius, Zipmex, 3AC, Vauld, Hodlnaut and countless others have left untold damage behind them which continues to play out across social media, legal forums and the court of public opinion.

Understandably consumers are concerned as to the stability and integrity of the CeFi platforms they trusted. While Dezy is proud to have never lost customer money, never paused withdrawals and always operated with transparency, we share users dismay and shock towards recent events.

Also understandably regulators have taken a less than accommodating stance towards the aftermath of these implosions. Dezy has always shared regulator concerns with regards to risk management and consumer protection but while we agree with the “what”, we do not agree with the “how”.

Singapore is currently debating a proposal whereby licensed entities will not be allowed to offer lending / borrowing services which is the core component of what we do. This leaves Dezy with two choices.

  1. Continue to operate without a licence which greatly limits our ability to scale features for our customers and trust with our customers
  2. Pursue a licence under upcoming amendments to the Payment Services Act but then no longer be able to offer our core service

Licences do not equate to corporate responsibility, risk management, consumer protection or consumer education. Some of the entities responsible for the CeFi implosion held licences or in-principle approval for licences.

Licences and / or unregulated and unclear grey areas for entities to operate in only achieve protection for regulators, not users. It creates plausible deniability while restricting well intentioned start-ups from scaling.

This puts us in a situation whereby the customer is affected either by having access to less meaningful services or to be put in a situation whereby they have no or limited legal recourse in the event of problems. We are pro-customer and we are building services for our customers, not at their expense.

The situation is what it is though and while we disagree with the approach, we understand its catalyst. It is immensely difficult if not impossible to defend the actions of the CeFi industry as of late.

OK, so what next?

We were CeFi simplifying DeFi. In the face of absurd CeFi industry behaviour and restrictive regulatory conditions we are shedding CeFi and embracing our true DNA.

Dezy is rebuilding and we will very soon bring our crypto simplification thesis directly onto the blockchain and into the world of DeFi. Whether you are an individual seeking to create your first crypto wallet, an artist with crypto assets intimidated by the UIs and complexities of DeFi, a gamer, a collector or a DAO seeking to manage your treasury … Dezy is for you.

The ability to transact freely, explore new technology and generate passive returns on your assets is your right.

DeFi is your right.

Our goal is to enable that right in a clear, sensible and transparent manner. For individuals, for corporations, for DAOs and regardless of where you are or how comfortable you are with the technology.

We’ll keep you updated along the way and we’ll see you soon.

When we do see you again, don’t call it a comeback. We never left.

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    Dezy Pte Ltd UEN: 202116623N, 80 Robinson Road, #08-01, Singapore 068898
    Disclaimers:
    1. Decentralised finance is an emerging field with fluid regulations and not without risk.
    2. Dezy is not licensed by the Monetary Authority of Singapore.
    3. Learn more about how we mitigate risk for consumer protection with insurance, diversification, and technical security measures.
    4. Dezy insurance coverage applies only to certain assets / protocols where insurance is applicable. Learn more about insurance.
    Dezy Pte Ltd UEN: 202116623N, 80 Robinson Road, #08-01, Singapore 068898