Poolin, one of the largest bitcoin (BTC) mining pools, has announced that after freezing withdrawals last week, it will give IOU (I Owe You) tokens to afflicted users.
Poolin stated in a blog post that it will assess user balances across its native wallet and mining pool before distributing six IOU tokens.
The tokens will be a 1:1 representation of user balances in bitcoin (BTC), ethereum (ETH), tether (USDT), litecoin (LTC), Zcash (ZEC), and Dogecoin (DOGE).
The plan is to gradually burn IOU tokens in batches. Users can also withdraw IOU tokens at any moment from the platform.
Poolin stated that the withdrawal freeze was imposed because of liquidity concerns. The value of cryptocurrencies has fallen dramatically this year, with bitcoin down by more than 50% since the beginning of the year.