Vibra Crypto Trading App Stops Operations in Kenya, Nigeria and Ghana according to recent reports. Vincent Li, co-founder of African Blockchain Labs, the organization behind Vibra, had initially stated that the suspension only impacted Nigerian users, assuring that it was a temporary measure.
Contrary to the co-founder’s claims, an October 18th Techcabal report features statements from both current and former employees confirming the app’s shutdown across all African markets. These individuals, preferring to remain anonymous, disclosed that they were given the option to resign or face termination. One former employee attributed Vibra’s struggles to insufficient revenue generation, suggesting that the company might have faced challenges in converting user education efforts into substantial turnover.
Despite the co-founder’s assurances, messages on Vibra’s Telegram channel appear to contradict the claim that only Nigerian users were affected, further muddying the situation.
The challenges faced by Vibra and other African crypto startups in 2023 have been linked to the ‘crypto winter,’ a period during which numerous crypto and fintech startups have either downsized or ceased operations despite earlier significant fundraising efforts. However, the demise of such startups has not solely been attributed to market conditions but also to issues of corporate governance failures and instances of founder-led fraudulent activities. Vibra Nigeria Kenya Ghana Stops Operations
A prominent example is the case of Dash, a Ghanaian startup that, despite raising over $86 million in capital over five years, ultimately faced insurmountable challenges leading to its closure. As the crypto industry navigates these obstacles, the incidents with Vibra and others serve as poignant reminders of the complexities and risks inherent in the cryptocurrency business landscape.