Vancouver based QuadrigaCX still locked out of $180M in stored cryptocurrency

$145M Locked Away After Crypto Exchange Boss Mysteriously Dies

$145M Locked Away After Crypto Exchange Boss Mysteriously Dies

Earlier today, the BCSC (British Columbia Securities Commission) told Reuters that QuadrigaCX does not fall under the commission's regulatory purview.

The Quadriga CX issue started with the unexpected death of its founder, Gerald Cotten, who founded the company in December 2013. "The information of his death was communicated to the relevant authorities", it continues.

A motion for the appointment of representative counsel for the affected users of QuadrigaCX will be heard in the Supreme Court of Nova Scotia at 9:30 on Thursday, February 14.

CoinDesk, a respected news website that covers all things cryptocurrency, claims to have accessed Gerald William Cotten's death certificate issued by the Rajasthan government.

The report notes that the beginning number of the wallet addresses ('3') denoted that the wallets used by QuadrigaCX all had multi-signature capability, but it was unknown if the security feature was ever implemented.

"BCSC does not regulate it."
In a will that Cotten filed about 12 days before he died, he decided that the only beneficiary and executor for his estate was to be his wife, Jennifer Robertson. If this happens, the platform will generally not be subject to regulation under derivatives or securities laws.

The Canadian Securities Administrators, an umbrella organization for the country's provincial securities regulators, said no crypto-asset trading platform had "been regulated as a marketplace by Canadian securities regulators".

It seems that Cotten did all of the business operations from an encrypted laptop that none in the firm, including Cotten's wife, had access to.

"Despite the best efforts of our clinicians the patient could not be revived and was declared dead approximately at 7:26 pm".

"Cotten signed his will on Nov 27, 2018 - less than two weeks before he died at a private hospital in Jaipur".

These details were reportedly confirmed by a spokesperson at Fortis Escorts hospital.

She said Cotten died from complications linked to the disease, which disrupts digestion by causing inflammation of the bowels.

According to documents availed by the hospital, Cotten was admitted to the healthcare facility on December 8. Cotton had complained of watery stools, vomiting, cramps and abdominal pain. Additionally, he was also feeling feverish. During admission, Cotten was diagnosed with septic shock and other possibly life-threatening issues.

James Edwards, a a cryptocurrency analyst who publishes research on a Zerononcense, reportedly reviewed the publically available transactions of the exchange, and found no evidence that the exchange controlled any of the wallets it claimed to.

Earlier past year, Quadriga was experiencing difficulties accessing CA$21.6m of its funds, when the Canadian Imperial Bank of Commerce (CIBC) froze five accounts belonging to the exchange's payment processor, Costodian Inc., and its owner, Jose Reyes. As per the reports from Cointelegraph, this made CBIC to 'pass the funds over to the Accountant of the Superior Court in order to identify the owner of the money'.