QuadrigaCX Loses Another $500K in Bitcoin By Mistake!

The disaster that is QuadrigaCX continues to show the incompetence of the people behind the exchange.

The embattled crypto exchange QuadrigaCX, which owes customers $250 million in CAD ($190 million U.S.) in cryptocurrencies and fiat, just lost another $500,000 CAD by mistake.

In an initial report published Tuesday on Quadriga’s progress since it filed for creditor protection in late January, court-appointed monitor Ernst and Young (EY) said that the company accidentally moved more than 100 bitcoins into a cold storage wallet it cannot access.

According to the report:

“On February 6, 2019, Quadriga inadvertently transferred 103 bitcoins valued at approximately $468,675 [CAD] to Quadriga cold wallets which the Company is currently unable to access. The Monitor is working with Management to retrieve this cryptocurrency from the various cold wallets, if possible.”

The company previously said it was unable to access the cold wallets because its CEO Gerald Cotten, who died while traveling in India in December, was the only one who knew where the private keys were.

EY will take control of the exchange’s remaining hot wallet funds by transferring the cryptocurrencies into the professional services firm’s own cold wallet, according to Tuesday’s report.

This includes 51 bitcoin, 0.014 bitcoin cash SV, 33 bitcoin cash, 2,000 bitcoin gold, 800 litecoin and 950 ether.

Well someone that knows what there are doing needs to take control quickly. This is not only another huge error, that pours more pain on the people affected by this, it is becoming a total embarrassment for our community.

Quadriga disclosed in a previous court filing that it owed its customers $180 million CAD ($137 million USD) in cryptocurrencies, but did not provide a breakdown between the funds held in hot wallets and those held in cold storage.

Tuesday’s filing indicates that at the time, the exchange held $902,743 CAD ($682,000 USD) in its hot wallets, meaning it had $179 million CAD (about $136 million USD) in cold storage.

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