Update from Grant Thornton Cryptopia


Latest update from cryptopia

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If I read this correctly they are wanting to charge account holders a fee for holding their assets hahahaaha but they are applying to use any unclaimed crypto assets as a possible leverage against that cost … what a joke . Seems like the only winner in all of this is the liquidator. What will happen to the assets that didn’t get claimed I wonder. Left over profit for the liquidator…I wonder how long this can possibly drag on. I figure at least another year given the number of tokens. They will need to figure out what projects are now worthless and dump all those and then figure out how to send the people thier coins or the equivalent amount if they sell them. What a logistical night mare.


Email from cryptopia

Dear Cryptopia Account Holder,

Unsolicited communication
It has been brought to our attention that a number of Cryptopia Account holders have received an unsolicited email from the Hong Kong company “Classic Focus Limited” (“CFL”) outlining a proposal to purchase their claim in exchange for a supposed digital coin.

The sole director of CFL is known to the Liquidators as having been found in contempt by the court for not disposing of Account Holder information that
he improperly obtained. The Liquidators have opened an investigation into how Account Holder’s emails were obtained.

Regardless the Liquidators believe it is important to address this unsolicited communication to confirm that this email has nothing to do with the official claims process. The process of distributing account holders’ cryptocurrency will be determined at a hearing at the High Court at Wellington on 13–15 November 2023.

It it important for those considering this proposal to seek independent advice. The Liquidators’ view is that this offer is not in the best interest of Account Holders. In particular, we believe it is important to note the following:
Typical asset and fiat-backed digital currencies like Tether and USDC produce proof of their reserves through audits. While the digital coin COG, mentioned in the CFL proposal, is supposedly backed by assets and traditional fiat currency reserves. There is no independently verifiable audit of its reserves.
The utility of the COG currency is questionable, given there is no named entity, exchange, or business that will accept this coin beyond an associated virtual metaverse and non-physical principality to which the crown prince is the sole director of the Hong Kong company fronting the offer. (You might also ask why a New Zealand-based person uses a Hong Kong company to front this offer.)
Lastly, the CFL Proposal letter claims that the offeror has a relationship with several parties. The Liquidators have an existing relationship with one of those parties. We sought confirmation of their involvement in the CFL proposal, and they have confirmed that they have no knowledge of this offer and are not engaged by CFL in any regard.
The Liquidators encourage all Account Holders (regardless of value held) to register in the claim process, so it is possible to return as much value as possible. One of the legal directions sought is for those who do not participate in the process to bear the cost of the distribution process. This will allow us to return more to smaller holders of Cryptocurrency.

Legal directions
Submissions have now been filed ahead of the hearing date scheduled 13–15 November 2023 in the Wellington High Court (CIV-2023-485-41113-15), in relation to the directions regarding the distribution of Cryptocurrency to Account Holders. Copies of these submissions can be found at the below link.

The full application for directions can be found in our Update for Cryptopia Claimants and Stakeholders 17 August 2023

If you are having trouble with the Claims Portal, please raise a ticket through the Cryptopia Customer Support Portal. This support portal is separate from the claims portal and can be accessed by any account holder, provided they register and click the “Sign Up” button on the page.

Lastly, a reminder that the only official communication from the Liquidators will be sent from a @cryptopia.co.nz email. Please take care to ensure that any communications asking you to deposit further funds are not scams.

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Another update from cryptopia

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I wonder how long this can drag out now - some people might get some funds back next year - its only been 5 years lol… Meanwhile that company makes a ton of money over seeing the liquidation…

A very good lesson for… Dont keep your crypto on an exchange

I hope they sort this soon for everyone.

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