Crypto exchange says that it can’t repay $190 million to clients after founder dies with only password
This has recently been said by the Canadian crypto exchange QuadrigaCX that it wouldn’t repay most of the $190 million of the holdings of its clients because one of the founders Gerald Cotton of age 30 was the only person who had known the password of the cold storage and he had died a sudden death in India. There was a sworn affidavit with the supreme court Nova Scotia and there the widow Jennifer Robinson said that his subject in the way of QuadrigaCX was owing the among of $190 million of his customers in the form of fiat money as well as the crypto currency while the protection case has been filed by the QuadrigaCV because according to the statements which it had given, it couldn’t have the access to the funds which have been stored in the cold storage however there is comparatively a bit amount in the hot wallet that can be accessible.
The exchange actually held an estimated amount of 26,500 bitcoins, 11,000 bitcoins cash, 11,000 bitcoin cash SV, 35,000 bitcoin gold, about 20,000 litecoin and nearly about 430,000 ethers which collectively it makes a total of $147 million according to what have been written in the affidavit. It wasn’t actually clear that what was exactly the portion for the crypto exchange’s holding that are been in the cold storage as compared to that which is placed in the hot wallet. In that affidavit Robertson has explained that there was only a minimal amount of the coins that were in the hot wallet a still the amount for the provided ones are not specified.
It was also said by Robertson that the cotton held has the only responsibility for handling of the coins and the funds and among all the other members; no one could have the access to the funds which have been stored there. QuadrigaCX had announced for the death of cotton since mid of January by saying that he had died because of having some complications with the Chron’s disease that he had encountered with on 9th December while he had been travelling in India.