Connect with us

Bitcoin

QuadrigaCX: No identifiable Bitcoin [BTC] cold wallet reserves are being held by exchange, claims researcher

Jibin M George

Published

on

QuadrigaCX: No identifiable Bitcoin [BTC] cold wallet reserves are being held by exchange, claims researcher
Source: Pixabay

In what would constitute a plot twist, a noted cryptocurrency researcher has suggested that there are no identifiable cryptocurrency reserves, whether Bitcoin [BTC] or otherwise, available for QuadrigaCX. The research, posted by Crypto Medication through a post on Medium, also makes a few other findings which if true, would have the potential to rock the cryptocurrency market.

QuadrigaCX, once Canada’s largest cryptocurrency exchange, has been in the news lately after it claimed that it had lost access to $150 million worth of cryptocurrencies in a cold wallet reserve after the untimely death of its founder, Gerald Cotten, in India. The exchange had previously been in the news after the Canadian Imperial Bank of Commerce froze the accounts of QuadrigaCX’s payment processor last year.

Crypto Medication has however, implied that the exchange is lying in its court documents and press releases as it never had access to such a huge reserve of cryptocurrencies that included some 26,500 BTC, 20,000 LTC and 430,000 Ethereum, among others. Summed up, the researcher suggests that not only did the exchange never have any access to such a huge pool of reserves, but the exchange is lying when it says that it doesn’t have any access to existing reserves.

Source: Twitter

The researcher claims to have tracked back several dozen wallet addresses from verified deposits and withdrawals initiated by customers and found that none of them sourced to any vast source of Bitcoin owned by QuadrigaCX. Crypto Medication also argued that the exchange’s claim that they have no access to any reserve could be a lie as if this was so, there shouldn’t have been any movement out of QuadrigaCX’s wallet. However, this hasn’t been the case, he has suggested.

Finally, Crypto Medication has through his research, also claimed that the Canadian exchange never had any reserves of their own and were instead, using deposits made by customers to pay those who wished to withdraw.



Despite the implication however, Crypto Medication makes no claim to refute the news of Gerald Cotten’s death.

Crypto Medication’s in-depth analysis of QuadrigaCX’s holdings used the empirical evidence provided by the blockchain to investigate and arrive at the conclusion offered. If found to be true, this would be in line with Kraken’s Jesse Powell’s thoughts on the case. Powell had called the case ‘extremely suspect’ and had even suggested that Canadian authorities investigate.

Source: Twitter





Subscribe to AMBCrypto’s Newsletter


Bitcoin

Bitcoin prices hit $150 billion market cap for the first time in 2019 as prices pump by 11%

Avatar

Published

on

Bitcoin prices hits $150 billion market cap for the first time in 2019 as prices pump by 11%
Source: Unsplash

Bitcoin’s parabolic rise that started in April seems to be staggering as the increase in price vs. the number of days it took to increase was surprising, considering the prolonged bear market.

The recent pump on May 27 at 23:30 UTC [+5:30] pumped the price from $7.995 to $8,939 in 7 hours with each green candle forming one after another. However, the price reached a peak at 05:30 UTC [+5:30]. After which the price declined by 2.85%.

Source: TradingView

Moreover, at press time, the market cap of Bitcoin has reached a new high, i.e., $154 billion and the price reaching $8,900 is a new all-time high of Bitcoin in 2019. Bitcoin’s total rise YTD was 146% and in a 24-hour time frame, the price of Bitcoin was up by 8.71%.



Meanwhile, altcoins have also followed suit as Ethereum pumped by 7.21%, XRP by 7%, Bitcoin Cash by 9.53%, Litecoin pumped the most in top 10 as it was up by 11.23% in 24-hours. Tron, the eleventh largest cryptocurrency pumped by 13.84%, at press time.

Anthony Pompliano, a well-known Bitcoin enthusiast tweeted:

“Someone check on @nouriel. Bitcoin seems to be coming back with a vengeance ever since he blocked most of Bitcoin Twitter.”





Subscribe to AMBCrypto’s Newsletter


Continue Reading

Trending