Payments company Curve makes offer for BlockFi’s 87,000 credit card customers

Payments company Curve is in active talks to acquire BlockFi’s crypto lender more than 87,000 credit card customers – whose credit cards have been suspended since November 11.

A spokesperson for Curve told Cointelegraph that “outreach and negotiations” began on November 12 and are still ongoing with Banking as a Service (BaaS) company Deserve, which operates the BlockFi card program.

“Terms are being actively negotiated between Curve and Deserve, but a sale or partnership, if accepted, is pending the conclusion of due diligence,” the spokesperson said.

“The primary point of contact for ongoing trading is Deserve/Evolve, not BlockFi, but this is an understanding that needs to be confirmed,” they added, also noting that Curve is not interested in BlockFi assets. .

If the acquisition succeeds, the fintech seeks to continue BlockFi’s credit card programnoting that customers will still be able to earn crypto rewards.

They also said that an added benefit of a successful acquisition is that customers of BlockFi’s credit card program “will not be transferred to another centralized exchange.”

Reports over the weekend suggested that Binance US and Coinbase were also suing BlockFi’s credit card customers.

A Coinbase spokesperson, however, clarified to Cointelegraph that, “We are not engaged in any conversations or efforts related to BlockFi’s card program,” while Binance US has not yet responded to requests for comment at the time of writing. publication.

Related: BlockFi limits platform activity, including stopping customer withdrawals

The offer for BlockFi’s credit card customers comes days after BlockFi announced it was suspending withdrawals on Nov. 11. citing the ongoing saga with FTX crypto exchange as cause.

On the same day, BlockFi credit card users flooded Twitter reporting that their cards no longer worked and had received messages from BlockFi confirming that the cards had been suspended due to “recent events on BlockFi”.

Some users were further upset when they received messages from BlockFi informing them that they would still be required to track their credit card payments.

Crypto market watcher Just Boby told his 14,000 followers on November 11 Publish“This is NOT untrue, BlockFi contacted me via email and text to remind me to pay my credit card bill,” others shared a copy of BlockFi’s communication.