Ziglu, the cryptocurrency startup founded by former Starling co-founder Mark Hipperson, has entered administration.
Based in the UK, the once-prominent crypto business had a valuation of $170 million but faced significant cash-flow issues as investor interest in fintech waned during the 2023 tech downturn. In February, Ziglu raised £5 million at a £45 million valuation and secured a £10 million term sheet intended to launch its own stablecoin.
However, in May, the FCA intervened to protect consumers by imposing restrictions on certain products offered by Ziglu. On June 17, Ziglu ceased both payments and cryptoasset activities, allowing customers to withdraw their funds. The FCA has since revoked Ziglu’s authorization as an e-money institution.
David Shambrook and Damian Webb of RSM Restructuring Advisory LLP have been appointed as special administrators.