QuadrigaCX Creditor ProtectionAfter the fact, the exchange was granted creditor protection by The Supreme Court of Nova Scotia. This meant it could take some time to try and recover the missing cryptocurrencies. It was also going to try to recoup its losses by unlocking a further $53 million USD in fiat currency held by payment processors. According to CoinDesk: "The company sought to preempt any litigation from customers hoping to recoup their losses, according to the filing." What was Canada's largest cryptocurrency exchange went offline completely in January.
QuadrigaCX and Ernst & YoungNova Scotia Supreme Court Judge Michael Wood suggested that the company's hot wallet funds be sent to the safety of new cold wallets maintained by the exchange's court-appointed monitor Ernst & Young (EY). Now, a report released today confirms this has happened. According to EY:
“On February 14, 2019, after testing the transfer arrangements, the Applicants successfully transferred the following cryptocurrency to the Monitor [...] The Monitor will hold the cryptocurrency in cold storage pending further order of the Court.”>> Coinbase Wallet Expanding with New Support for Bitcoin Cash QuadrigaCX's online wallets, or hot wallets, have been almost emptied and the funds sent to EY. The tally includes 52 Bitcoin (BTC), 960 Ether (ETH), 33 Bitcoin Cash (BCH), 2,000 Bitcoin Gold (BTX), and 822 Litecoin (LTC).