Last week, Ramp sent a message to crypto companies using its corporate card services that it was significantly lowering spending limits and mandating new requirements. Some users were temporarily suspended from spending altogether.
“In light of the recent unprecedented events in the cryptocurrency, blockchain, NFT and DeFi ecosystems, we will consult with everyone working in this space, including you, to determine whether we reverse or modify any of the changes listed above.” Reviewing businesses. Memo said.
While the ramp somewhat backfired from the changes, its move provides a window into how corporate credit card companies may be stress-tested in the current environment. Ramp’s biggest competitor, Brax, said that there has been no change in the spending limits for crypto users.
In the case of RAMP, companies were asked to upload their current balance sheets, including versions showing at least the last 12 months; its most recently completed income statement; and a list of any cryptocurrency, blockchain, NFT, and/or DeFi exchanges with which the company has held an account in the past 12 months. “We sincerely apologize for the potential disruption to your operations and realize this may impact your business,” the email said.
Less than 24 hours after that move, Ramp CEO and co-founder Eric Glyman And other officials sent emails to users on Saturday providing further context on the changes. The company wrote that the initial note “may have caused unnecessary concern” and apologized for the confusion.