top of page
Writer's pictureFahad H

Canadian Regulators Seize Crypto Exchange Reportedly Owing $16M to Clients


Regulators within the Canadian province of British Columbia have shut down the Vancouver-based Einstein cryptocurrency change.

In a press launch on Nov. 4, the British Columbia Securities Commission (BCSC) reported that it had taken motion in opposition to the Einstein cryptocurrency change, which apparently owes greater than $16 million to its clients, in accordance to CBC information.

Following a BCSC request to the Supreme Court of British Columbia, the courtroom appointed audit agency Grant Thorton Limited to behave because the interim receiver on Nov. 1. Per the press launch, Grant Thorton entered and secured the change’s premises on the identical day.

The BCSC determined to take authorized motion and shut down the change, after it obtained “numerous complaints about customers being unable to access their assets on Einstein exchange,” whereas it had additionally obtained phrase from a lawyer representing the change that “it planned to shut down within 30 to 60 days due to a lack of profit.”

BCSC investigator Sammy Wu instructed the CBC that he believes the crypto change improperly used its clients’ property whereas owing clients greater than $16.three million, which incorporates $11 million in cryptocurrencies and about $5 million in money.

Wu added that he had gone to the Einstein Exchange workplace final Friday solely to find that the elevator is locked for all flooring and that every one listed cellphone numbers of the change’s brokers, together with that of Einstein change founder Michael Gokturk, are not out there.

The BCSC famous that it has not approved any crypto-asset buying and selling platforms to function as an change and that it continues to induce traders to train warning when investing in cryptocurrencies. 

Another Canadian crypto change beneath scrutiny by the BCSC

In a separate case, Elise Palmer, the BCSC’s media relations and public affairs advisor stated that it has obtained a number of complaints about Nanaimo-based cryptocurrency change ezBtc.ca. The spokeswoman determined to remark publicly on this investigation “because it is in the public interest to do so,” including:

“The complainants told us they had bought crypto-assets through ezBtc and have not been able to gain access to their assets. … Customer assets are at risk. Anyone who invested through ezBtc should consider consulting a lawyer about their options for retrieving their money.”

QuadrigaCX fiasco

Canadian traders are nonetheless haunted by the QuadrigaCX change fiasco, which has been producing headlines ever since its CEO, Gerald Cotten, was declared useless in India with out ever revealing the passwords to entry the corporate’s cryptocurrency reserves. 

Over the previous 12 months, the change has been engaged in a prolonged courtroom case with the change’s collectors, a few of whom have speculated wildly as to the destiny of the misplaced cryptocurrency, with many doubting that they may ever have the ability to retrieve their funds.


Your Opinion Matters

Quality - 10

10

Total Score


Your feedback is important to us to improve our services. We constantly seek feedback to improve and evolve our service, whilst identifying opportunities to assist clients in realising their business objectives.

User Rating: 4.71 ( 7 votes)

0 views0 comments

Recent Posts

See All

Comments


bottom of page