The Spanish cryptocurrency project, CryptoSolarTech, reported that it will return the funds raised in its Initial Coin Offer (ICO) last year. This has been reported by the company with a statement, shared via email and Twitter social network on Tuesday, February 19.

The tweet shared by IT lawyer show official statement issued by the Spanish ICO team.

Vaya, parece que Cryptosolartech cesa operaciones… #surprise #NOT Al menos dice que devolverá lo obtenido en la ICO. pic.twitter.com/DlWx4uphHv — Sergio Carrasco (@sergiocm) February 19, 2019

CryptoSolarTech is a startup that had considered the construction of a cryptocurrency mining farm in Malaga. This would use solar energy to mine cryptocurrencies such as bitcoins, ethereum, dash in a more ecological way. To this end, it carried out an Initial Coin Offer between the months of April and July 2018 with CST, an Ethereum ERC-20 token that sold for US $ 0.05.

The firm managed to raise US $ 68 million, but now the members of the CryptoSolarTech (CST) project have reportedly will return the money to their holders in the next 60 days, starting with those who already requested a refund. Then, they will continue with the rest and will inform about the procedures to follow for the cases of holders that have the CST token in exchange platforms.

The Decision

The decision to close the project and return the funds raised is attributed to an unexpected change in their finances. And it is that the capital firm Montbrun Private Capital, which had bought 715,285,715 tokens, valued at more than US $ 35 million, during the ICO requested the reimbursement of the same. On February 11, the authorities denied the building permit that would allow them to build the cryptocurrency mining farm for alleged “urban irregularities that affected the habitability” of the space. The team explained:

“The rectification of such obstacles would suppose, first, that by the property the pertinent administrative procedures are instituted and, second, that of taking place it would cause a delay added to which already it had caused us the request of the work license; In addition to other unknown circumstances of the property and that will result in the impossibility of meeting the deadlines.”

The Token Price is ‘Nose-diving’

The Cryptosolartech token (CST) price is -90.4% down in the last 24 hours.