Due to rapidly changing circumstances with one of our critical service providers, Coast will be temporarily pausing the majority of our Beta functions until further notice. If you are an existing Coast customer, please feel free to contact support directly firstname.lastname@example.org.
This change has been caused by the suspension of custody (fiat and crypto) and payment rails services by our banking partner, Prime Trust. We believe this suspension of services to be the direct result of an announcement this morning that BitGo will not be moving forward with their proposed acquisition. The announcement is embedded below.
After considerable effort and work to find a path forward with Prime Trust, BitGo has made the hard decision to terminate its acquisition of Prime Trust. This decision was not made lightly and BitGo remains committed to our mission to deliver trust in digital assets.— BitGo (@BitGo) June 22, 2023
We deliberately designed the Coast fiat on-ramp to be NON-CUSTODIAL. As users of the Beta can attest, we allowed customer funds to be available in their external wallets within minutes of buying USDC. This design decision placed all of the economic risk from an event like the one we are currently experiencing with Coast, not with our end users.
At present, less than $300 of customer funds have been frozen (if you exclude our corporate accounts). As soon as we have clarity on the status of those funds, we will work with PT to ensure they are released to the affected users.
Prime Trust’s custody, payment, liquidity and digital account services are essential to the smooth operation of the Coast fiat on-ramp on Ethereum. Luckily though, the majority of these functions are non-essential for Coast Stablecoin $CST on PulseChain.
This change is disappointing for all current users of the Ethereum on-ramp. But our plan has always been and remains the creation of a fiat on-ramp and stablecoin for PulseChain. So for now, we are going to shift our focus to building out the infrastructure required to make that happen.
Stoic & Team