Crypto Exchange Not Able to Reimburse $190 Million to Clients Following Founder’s Death

Crypto Exchange Not Able to Reimburse $190 Million to Clients Following Founder’s Death

A Canadian crypto exchange can’t reimburse nearly $190 million after its founder passed on. He was the main individual with access to the assets.

QuadrigaCX’s 30-year-old founder Gerald Cotten died in India in December 2018 and was the main individual who knew the passwords to the organization’s “cool storage,” CoinDesk reports.

Cotten’s widow Jennifer Robertson said in a sworn affirmation with the Nova Scotia Supreme Court that QuadrigaCX owes its clients around $190 million in cryptocurrency and fiat cash, as indicated by Gizmodo. Presently, the crypto trade has filed for creditor protection because of the way that it can’t get to assets in “cold storage,” yet can get to cash in a “hot wallet” that is utilized for exchanges.

Robertson likewise said Cotten had “sole responsibility for handling the funds and coins.” QuadrigaCX revealed Cotten’s death in mid-January, announcing he died “due to complications with Crohn’s disease on Dec. 9, 2018 while traveling in India, where he was opening an orphanage to provide a home and safe refuge for children in need.”

CoinDesk reports that however Robertson has Cotten’s laptop, she doesn’t know the password, and a technical expert couldn’t bypass the encryption. Robertson additionally shared that Cotten didn’t abandon any business records.