Posted in a place on this forum that's as obscure as the CEO's password
OopsEfforts to recover millions in crypto-cash from the digital wallets of a man who died without revealing passwords to access them have hit a snag.
The wallets have been found to be empty.
The discovery was made by a firm appointed to oversee QuadrigaCX after the death of founder Gerald Cotten. It expected to find the wallets full of C$180m ($137m; £105m) in crypto-cash deposited by the coin exchange's customers. Mr Cotten, who died in India in December, had sole responsibility for handling the funds and coins passing through the site.
In a report on its discovery, E&Y investigators said they did not know what had happened to the bitcoins they expected to find in storage.
However, the company said, it found evidence that Mr Cotten had 14 other user accounts "created outside the normal process" that may have been used to trade on the QuadrigaCX exchange.
E&Y is now trying to gather information about the trading done via these other accounts to see if it can trace how much crypto-cash passed through them.
A reward of $100,000 has been offered by one former QuadrigaCX customer for information about where the exchange's cash has gone.
"The unregulated nature of cryptocurrency exchanges, plus the fact that so many use them to hold their coins rather than just exchange them, invites fraud," said security expert Dr Alan Woodward from the University of Surrey.
"We really need exchanges to be regulated," he said. "The big question is who would do that."
He added: "If anyone is using an exchange to hold their coins I would encourage then to do the most in-depth due diligence they possibly can."
To put this simply, there are more Bitcoin keys than all the grains of sand on Earth.When people say crypto is super secure
Really makes you think. I'm sure you could pay off some officials to fake a death certificate for you for a fraction of 150 million USD in India.guy "dies" in "India"
150 million dollars goes missing around the same time
I'd have cashed out as soon as I could live off the interest and never thought about money again.Lol, Bitcoin OG since 2011. Bought at 2.12
Bitcoin WILL break $100k. Sorry you missed the train
To this date the cold wallet addresses have not been made public, we don't know for certain that the money wasn't gambled away prior to his death. It's frankly unacceptable that those addresses have not been made public so actual technical people can monitor the situation, unlike the boomers appointed by the courts who ended up losing an addition million dollars by sending some hot-wallet coins to the wrong address.$190m just sitting there, never to be seen again.