Having been a user of Wattpad for six years, it has been in the cards for weeks. There were rumors of Wattpad being sold to Tencent and so on. The Ambassadors everywhere shot it down as "fake news", as we now know it's false. But Wattpad has rarely been good in user service (unless you count the early years of the site).
It seems, according to someone I know on Wattpad (who knows about the intricacies of business), has said Wattpad made promises to blow up on the big screen (movies, television series, huge book deals, and so on) but didn't deliver. They got tired of it and Wattpad had no other choice but to sell to another company.
Many people, including myself, have seen the site fall from the highest it used to be. Like, the moment they removed the Newsfeed and the Wattpad forums more and more people have exodus to other writing sites, such as Tapas, Inkitt, and Radish are the most common ones.
Even though Wattpad has a huge customer base -- they really aren't that active anymore.
What people are hoping and expecting is for Naver to fix the user-management, clean up glitches, and other server errors. Wattpad has a long way to before coming to a proper site as it once was. Now, most of the user base is alienated.