Home / NEWS / #Cryptocurrency: Investors cry foul as Gerald Cotten’s Cold Wallets Found Empty!

#Cryptocurrency: Investors cry foul as Gerald Cotten’s Cold Wallets Found Empty!

QuadrigaCX, a Canadian-based cryptocurrency exchange platform, has been in the news a lot over the past few months. Following the untimely death of its CEO, Gerald Cotton in December 2018, QuadrigaCX account holders have been locked out of their funds.

The 115,000 account holders have been in a frenzy and about what will happen to their $143 million. At the time of his death, Gerald Cotton was the only one with the encrypted keys to recover the funds. Now users are worried that access to the funds is gone forever.

However a new and dangerous twist has been added to their worries.

Following a successful bankruptcy appeal in February 2019, court appointed monitor, Ernst and Young has discovered that the QuadrigaCX Bitcoin storages have no funds.

Ernst and Young discovered six  Bitcoin cold wallets QuadrigaCX used to store cryptos away from hacking attempts. But unfortunately, five of the offline storages were empty. In fact they haven’t had any funds in them since April 2018.

Meanwhile the sixth storage was used to receive Bitcoins from another exchange account for transfers to Quadriga’s networked online wallet. And this was a less than $500,000 transaction which took place in December 2018.

“To date, the Applicants have been unable to identify a reason why Quadriga may have stopped using the Identified Bitcoin Cold Wallets for deposits in April 2018, however, the Monitor and Management will continue to review the Quadriga database to obtain further information,” Ernst and Young wrote in their report.

This is the latest drama in the QuadrigaCX issue and once again, it’s testing the credibility and security of the cryptocurrency industry.

According to various reports, late CEO, Gerald Cotton was the sole brain behind QuadrigaCX.

“Quadriga had no offices, no employees and no bank accounts,” the BBC reports. “It was essentially a one-man band run entirely by Cotten wherever he – and his laptop – happened to be.”

Even his wife had no idea how the business was run and neither did he provide her with any documents or even the password to his laptop before he died in India.

Going forward there’s still no understanding of what will happen.

Ernst and Young is also investigating whether some of the cryptocurrency could be secured on other exchanges. But for now, it hasn’t found anything useful.

Investors remain worried and the entire crypto industry is paying keen attention to the developments and hoping it won’t affect their credibility.

About Dotun Roy

DotunRoy.com is a development driven news website with the overall goal of amplifying, promoting and advocating for positive societal change through Sustainable Development advocacy in line with UN SDGs components such as education, environmental sustainability and Climate Change, Human Rights, health, finance, housing, good governance as well as security in Nigeria and across the world.

20 comments


Strict Standards: Only variables should be assigned by reference in /home/dotunroy/public_html/wp-content/themes/jarida/comments.php on line 21
  1. How to use the computer wisely? Get him to get cryptocurrency! CryptoTab Browser is the fastest way to start your journey in the mining world. The browser is already configured and ready to use – just download and install! http://bit.ly/2Gfl8gM

  2. Found this on MSN and I’m happy I did. Well written article.

  3. Hello! Quick question that’s totally off
    topic. Do you know how to make your site mobile friendly?

    My weblog looks weird when viewing from my apple iphone.
    I’m trying to find a theme or plugin that might be able to correct this issue.

    If you have any suggestions, please share. With thanks!

  4. Discount Pharmacy Cialis Comprar Cialis Envio Urgente Avis Cialis 10 cialis Viagra Preise Deutschland Achat Vrai Viagra Ligne Usa Rx Pharmacy Cialis

  5. I would like to thank you for the efforts you have put in penning this
    blog. I’m hoping to see the same high-grade content from you in the
    future as well. In truth, your creative writing abilities has motivated me to get
    my very own website now 😉

  6. Hi just wanted to give you a brief heads up and let you know a few of the pictures aren’t
    loading correctly. I’m not sure why but I think
    its a linking issue. I’ve tried it in two different internet browsers and both
    show the same results.

  7. I blog quite often and I seriously thank you for your content.
    The article has really peaked my interest. I will book
    mark your blog and keep checking for new information about once a week.

    I opted in for your RSS feed as well.

  8. Macrobid 100mg Where To Buy Propecia Pas Cher cialis for sale Generique Du Viagra

  9. Hi there this is kinda of off topic but I
    was wondering if blogs use WYSIWYG editors or if you have to manually code with HTML.
    I’m starting a blog soon but have no coding skills so I wanted
    to get advice from someone with experience. Any help would be greatly appreciated!

  10. Generic Provera Meprate Cheapeast Best Website On Line Viagra Brand At Low Price viagra Proscar O Propecia Lioresal Sans Ordonnance Buy Colchicine Tablets

  11. This is a topic that’s close to my heart…
    Thank you! Exactly where are your contact details though?

  12. Hi there just wanted to give you a quick heads up and let you know a few of the images aren’t loading
    correctly. I’m not sure why but I think its a linking issue.
    I’ve tried it in two different web browsers and both show the same results.

  13. Greetings I am so thrilled I found your web site, I really found you by mistake,
    while I was browsing on Digg for something else, Anyways I am here now and would
    just like to say thanks for a tremendous post and a all round interesting blog (I also love the
    theme/design), I don’t have time to browse it all at the moment but I have
    saved it and also added your RSS feeds, so when I have time I will be back to read much more, Please do keep up the great work.

  14. Compro Viagra Poco Prezzo Mexico Compra Finasteride Propecia Propecia Cost Canada generic cialis canada Viagra Plus For Sale

  15. Amoxicillin Pills cialis from canada Viagra Online Canada Mastercard

  16. Hiconcil Buy Online Zithromax Dosage For Strep Priligy Australia Release Date cialis overnight shipping from usa Vardenafil Withdrawal Viagra Without A Persxritpion

  17. Cytotec 30mg Where To Order Bentyl cialis 5mg best price Keflex Without Prescription Over Night Generico Cialis Soft

  18. Radio Advertisments For Healthy Man Que Es El Cialis Propecia Generique 50mg cialis cheapest online prices Baclofene Dose Maximale Comprar Cialis Internet

  19. Why Cephalexin In Dogs viagra Acheter Cytotec Viagra 100mg Canada Pharmacy

  20. Amoxicillin Allergy Symptoms Cialis Dangers Amoxicillin Strain Bacteria generic 5mg cialis best price Viagra Kaufen Ausland

Leave a Reply

Your email address will not be published.