A month from now, COTI, the blockchain startup in charge of creating the DJED stablecoin based on Cardano, will end its co-branded debit card agreement with Nuvei, the company that bought Simplex. Co-branded cards from Nuvei would be deactivated starting on August 5, the company stated.
COTI has recommended its consumers to relocate their cash before the deactivation takes place, even though it acknowledged that it is working on a variety of options. Although COTI remained mum on the reasons for the deal’s termination, this early transparency will give its users the time they need to get used to the upcoming changes.
In 2021, COTI and Simplex began releasing their Visa co-branded debit cards together, and their cooperation has been strong ever since. Due to the distinctive appearance of the product and the fact that each account established is linked to a legitimate bank account with an IBAN, it has garnered more popularity.
One of the numerous cryptocurrency initiatives with a co-branded debit card programme is COTI.
Community reaction to COTI
The news has considerably agitated the COTI group since it makes people less optimistic about the future. Users specifically wanted to know if COTI’s treasury balance will be affected by the termination of the co-branded debit card programme.
The worries are well-founded given how easily some well-known cryptocurrency initiatives tend to fail with only a minor glitch in routine operations. The case of Multichain, a cross-utility blockchain platform, which experienced a force majeure incident that prevented on-chain operations, serves as a notable illustration.
Although there were serious concerns about a rug pull in the instance of Multichain, the protocol finally started up again, according to a previous article by U.Today. Users of COTI do not want to enter this uncharted zone before completing the necessary steps.
