FISHY UPDATE: Court-appointed monitor Ernst and Young (EY) revealed QuadrigaCX ‘accidentally’ transferred another 103 bitcoins valued at approximately C$468,675 to the old wallets which the Company is unable to access on February 6, 2019 ie. one day after QuadrigaCX was granted creditor protection by the Court.

CryptoCurrencyConspiracy

Alledgedly, the Quadriga saga is an Exit Scam…

The highly suspicious death of Gerald Cotten, CEO of Quadriga Crypto Exchange, is getting more and more scandalous by the day, prompting many to suspect Cotten faked his own death in an elaborate scam to rob his customers.
CEO of a rival crypto exchange called the death “bizarre and, frankly, unbelievable.”
QuadrigaCX’s Victim #1 – BURNT!

So, Is The QuadrigaCX Saga A Crypto Exit Scam?

The sheer amount of missing funds, as well as several odd circumstances surrounding Cotten’s death, and there are elements in the story that don’t seem to add up — a few too many one-in-a-million chances, have led to theories he faked his death in an elaborate scam to rob his customers.
Among a few reasons some crypto pundits are scratching their heads:-

• With a proper treatment plan, the risk of death from Crohn’s disease is currently about 3%.
• Cotten’s will was signed on November 27, less than two weeks before his death on December 9.
• Even before Cotten’s death, the company had transaction delays and legal disputes led to millions of dollars being frozen.

Here’s what we know so far:-

Cold Wallet Case

Cotten died on December 9, 2018, due to complications arising from Crohn’s disease at the age of 30. This itself is rather suspicious as not only the risk of death from Crohn’s disease is very slim at about 3%. What are the chance a sick man will even contemplate travel abroad? Letc.one building an orphanage in India while he has tons of problems to deal with at home (such as CIBC lawsuit that is causing a software engineer unable to retrieve his C$560,000 ($422,000) deposit)?
It’s said both a statement of death issued by a Halifax funeral home and a death certificate issued by the Government of Rajasthan’s Directorate of Economics and Statistics report that he died in Jaipur, India. However, some users raised red flags — and pointing out that in parts of India, it’s possible to buy a death certificate.
QuadrigaCX’s Victim #2 – Stunned!

Gerald Cotten took $250M in assets locked by passwords to grave

Before his death, Cotten shifted the crypto holdings into “cold storage,” offline physical devices that allow protection from thieves and hackers, his widow said. Those transactions paralyzed the funds, Robertson said, as Cotten was the only one with access. Robertson’s attempts to hire consultants to help crack the code have so far been unsuccessful, she said.
“The Quadriga story doesn’t make sense,” Emin Gün Sirer, a professor at Cornell University and co-director of the Initiative for CryptoCurrencies and Contracts, told Bloomberg.
“If the funds are frozen and the cold wallet is inaccessible, it should be possible for the exchange to provide the cold wallet addresses so their claims can be verified with the help of the blockchain.”
QuadrigaCX’s Victim #3 – Left Penniless… No Money To Buy Bra.

Little evidence of cold wallets containing $250M

Experts who have analyzed publicly available cryptocurrency transfer patterns say there’s little sign of digital vaults stuffed with millions and linked to Quadriga.
Bloomberg talked to Elementus founder Max Galka, who said that it couldn’t find any cold wallets holding Ether, one of the cryptocurrencies that’s listed as missing, and that Quadriga was moving Ether to bigger trading platforms through the middle of January.

“There’s some fishy business going on.” Said Galka.

QuadrigaCX’s Victim #4 – Not Only No Money To Buy Bra, Also Can’t Afford Panties.