Malaysian fintech HelloGold winds down core business
Malaysian fintech HelloGold is winding down its core business in Malaysia and Thailand after failing to meet growth targets last year amid ongoing global economic headwinds.
The firm operates a savings app that combines blockchain technologies with gold trading, designed to broaden financial inclusion through low-cost barriers to entry. Users could begin saving with gold for as little as 20 cents.
Users have been notified of the decision, Fintech News Malaysia reports, with the fintech said to be exploring other business models afforded by its technology while cutting costs.
HelloGold CEO and co-founder Robin Lee tells Fintech News Malaysia that given the level of customer activity, it was not possible to reach profitability, “so we are closing it down and we are pivoting to a B2B model”.
“It enables us to be back-end focused instead of front-end focused. We are still continuing to pursue a white-labelling business in Malaysia and abroad,” Lee adds.
Users have until 2 February 2023 to withdraw funds, and any gold remaining after that date will be sold and the proceeds transferred to users within five working days.
Founded in 2015 and officially launched in 2017, the app was notable for being the world’s first Shariah-compliant online digital gold platform.