Victims of the Cryptopia hack should follow Grant Thornton’s updates and register their claims on the provided portal. The asset transfer stage has not begun yet but is anticipated, with applications for redistribution expected to start in the first half of 2022. The Cryptopia exchange has reportedly been hacked again, even as it is being liquidated following a previous breach that stole NZ$24 million (US$15.5 million). I have some coins not affected from recent theft as they were all in place but now it looks like we are ripped by the exchange itself but not “hackers” My (remaining after the hack) balance is not your money to pay your liquidators and creditors with.

The platform peaked in popularity following the 2017 market-wide bull run, when the value of Bitcoin (BTC) and other cryptographic assets skyrocketed. By 2018, Cryptopia had more than 80 staff members and a user base of ~1.4 million. It is safe to assume that factors including gas costs, particularly given the number of ERC-20 token that Cryptopia listed, may complicate this process further. Any users hoping for a Cryptopia refund should urgent engage in the process via the Cryptopia claims portal if they haven’t yet done so. In Singapore, an exchange that is believed to have received hacked funds has been contacted. The liquidators write that the exchange has complied with their disclosure request.

As previously reported, Grant Thornton said the steps are necessary to ensure the repatriation of assets complies with New Zealand law. In a blog post Wednesday, the New Zealand branch of accountancy firm Grant Thornton said it has opened a claims portal allowing affected users to register for the repatriation of property still held by the exchange. All accounts were frozen after over US$17 million in ether and ERC-20 tokens was stolen during a hack in early 2019. CoinPedia has been delivering accurate and timely cryptocurrency and blockchain updates since 2017.

May 22nd – Crypto Community Celebrates Bitcoin Pizza Day 2021

While this initial payout is very large, Grant Thornton stated that even more distributions are planned. The firm will follow an approved process, including setting cut-off dates, before distributing the remaining funds to account holders. There is also the possibility of additional “top-up” distributions, which could allow users to receive up to 100% of their holdings by reallocating unclaimed funds from those who have not registered on the claims portal. In case the funds are still on the exchange, the easiest way for Cryptopia would be to allow users to withdrawal their assets from the exchange. But then there are still the liquidators and other creditors/large stakeholders that need to be paid first, leaving not much for the traders. Around 960,000 former Cryptopia users are being informed, and those registering are being asked to confirm some account details to ensure only verified users of the exchange make claims.

Also, the exchange announced that the exchange will be in maintenance mode while the trading is suspended. Grant Thornton writes that for users to begin receiving distributions “input and approval of the Court,” is required. While there are still a large number of Cryptopia users yet to be accounted for, the Grant Thornton customer support says it has engaged with 93,700 claimants. Your Account is frozen because it must have been in a dormant state for a long period of time,When accounts are inactive for a long time it’s automatically moved into dormant state We hereby certify that we do not aim to delay our clients’ withdrawal requests while we also guarantee the utmost security and safety for all transactions between our clients and us. To learn when we reserve the right to ask you for identification documents, please refer to the Agreement for International Financial Services.

Cryptopia update – Liquidator Says It’s Close To Returning Funds

The liquidators of the now-defunct crypto exchange Cryptopia started the distribution of funds to users who were affected by a major hack that happened nearly six years ago. On Dec. 20, Grant Thornton, the firm overseeing Cryptopia’s liquidation, announced that over 10,000 verified account holders started receiving payouts. These distributions consist of Bitcoin (BTC) and Dogecoin (DOGE), totaling approximately 400 million New Zealand dollars ($225 million). After a court ruling in 2020, Cryptopia’s users were declared entitled to their funds, with reimbursement in cryptocurrency rather than fiat currency. The liquidation process is ongoing, with Grant Thornton currently in the claim registration stage, urging affected users to file their claims to recover their assets.

• And secondly, the account holders’ cryptocurrency is held in trust by Cryptopia on behalf of users.
• Cryptopia is closing up shop, shutting down the exchange while many users still have funds on it.
• On March 4, 2019 the company re-opened the site and updated that the users will now be able to check their balances.

On March 30, 2019, WhaleAlert posted an alert stating that over $4 million worth of Ethereum tokens were transferred to a different address. Later, the exchange started generating private keys for the 457 coin listed on the exchange. The exchange provided the link of the page to users and explained the terms in the chart. Furthermore, a next-generation blockchain analysis company, Elementus, outlined the timeframe of the theft and the number of tokens missing. Later, the exchange tweeted that Cryptopia suffered a security breach resulting in significant losses.

Bitcoin’s Nvidia-Led Gains Prove Short-Lived, With Price Slumping Back to $88K

This drew a lot of attention from coin enthusiasts around the world and turned Cryptopia into a trending platform.

David Ruscoe and Russell Moore, were the two officials from Grant Thornton who carried the liquidation process. The thieves not only gained access to one private key, but also to thousands of them . Along with losing their funds, the Cryptopia exchange also lost access to all of them.

This number was equal to 23 cryptopia withdrawal million NZD or 16 million USD at the time and was considered to be the biggest scam ever pulled in New Zealand. The platform suffered a security breach on January 14, 2019, causing significant losses to users from over 183 countries around the globe. The Cryptopia team immediately informed the legal authorities, suspended trading activity on the platform, and took Cryptopia into maintenance mode. However, it was later found out that the hacks were still going on even after the police had been involved. On the contrary, the technology has been rock solid in keeping an immutable ledger by recording every single transaction ever made. However, especially at the early stages of the crypto hype, the pitfalls of blockchain technology weren’t discovered yet, and measures against cybercrime weren’t regularly implemented.

• If you are not, we hope that you take a valuable lesson from this story on the risks that come with storing your assets on exchange platforms.
• Currently, the liquidation process is in its second stage of claim acceptance, and the liquidator company is working on collecting enough data from the holders.
• This drew a lot of attention from coin enthusiasts around the world and turned Cryptopia into a trending platform.
• In 2021, while the platform was being liquidated, it was hacked again – this time by a former employee who stole $170,000 in crypto from a wallet tied to the platform.
• Cryptopia was founded in 2014, and was once a major international cryptocurrency exchange based in New Zealand.

Ether Treasury Firm FG Nexus Unloads Nearly 11K ETH to Fund Share Buyback

More than four years on from the beginning of the Cryptopia exchange liquidation process, liquidators Grant Thornton have yet to return any account funds to Cryptopia’s customers. The liquidation process which began in May 2019, following the all-encompassing exchange hack of January 2019, remains ongoing. Grant Thornton first began referring account holders to the Cryptopia claims portal in December of 2020.

Discover expert guidance and reliable support for all your cryptocurrency needs. Whether you’re new to crypto or an experienced trader, we’re here to help you every step of the way. Within the last 48 hours, over $400 million NZD in cryptocurrency has been returned on-chain. The company’s holdings, which include bitcoin and ether, have been managed through trading and hedging strategies since 2017.

Cryptocurrency trading is fraught with risks, including the high volatility of assets and potential security breaches on blockchain platforms. Cryptopia, a New Zealand-based crypto exchange, suffered a significant hack in 2019, resulting in the loss of a large sum of digital assets from user wallets, leading to the platform’s liquidation by Grant Thornton. The liquidation process itself is a carefully choreographed sequence of steps, aimed at ensuring the equitable return of assets to eligible account holders. The timeline, though optimistic, is subject to the intricacies of legal proceedings and the challenges of asset distribution. The interim distributions, soft and final cut-off dates, and the phased distribution strategy highlight the liquidators’ commitment to transparency and fairness. Yet, the mention of cryptocurrencies with no value not being distributed underlines the harsh realities of digital asset valuation and the practical limitations of liquidation processes.

Cryptopia’s Final Act: Navigating the Maze of Liquidation and Unwarranted Offers

You can also really help us by rating and reviewing the film on IMDb and wherever you watched it. According to a recent report a  portion of the stolen funds were transferred to and received by a Huobi deposit address. It also states that hackers might pull the cash out through the Huobi hot wallet. Just after a week when the exchange went into liquidation, over 30,000 ETH stolen from Cryptopia in January was transferred to an unknown wallet. After the customers of Cryptopia raised concerns for a long unscheduled maintenance, the exchange announced the appointment of Grant Thornton as its liquidators. Later, the exchange advised its customers not to deposit funds to the old Cryptopia address as the exchange has new wallets.

Famous Comedian Bill Burr’s Bitcoin Story Excites You

All content is created by our expert panel of analysts and journalists, following strict Editorial Guidelines based on E-E-A-T (Experience, Expertise, Authoritativeness, Trustworthiness). Every article is fact-checked against reputable sources to ensure accuracy, transparency, and reliability. Our review policy guarantees unbiased evaluations when recommending exchanges, platforms, or tools. We strive to provide timely updates about everything crypto & blockchain, right from startups to industry majors. Out of which the largest number of cryptocurrencies were sent to Bibox, the second largest were held by Binance, while the third in line was Huobi. According to the reports, the hackers transferred over $882,632 out of the $16 million, and the majority of the tokens were still in two different wallets.

Cryptopia was a digital asset exchange operated by Rob Dawson and Adam Clark between 2014 and 2019. Dawson and Clark were better known to customers by their online usernames “Hex” and “sa_ddam213”. Dawson has said that he and Clark were compelled to build Cryptopia after negative experiences with other exchanges, and “a desire to build the website that we ourselves wanted to use.” They also write that because of poor record-keeping and reporting deficiencies on the part of Cryptopia, reconciling assets held within the exchange’s wallet and what is owed to customers is a challenge that they are addressing with success.