Some former users of QuadrigaCX, a Canadian crypto exchange that collapsed in 2018, will soon receive a fraction of their lost funds.
Users of Collapsed Crypto Exchange Quadriga to Receive Some of Their Lost Funds
Some former users of QuadrigaCX, a Canadian crypto exchange that collapsed in 2018, will soon receive a fraction of their lost funds. The exchange's founder and CEO, Gerald Cotten, died unexpectedly at the age of 30, leaving behind a mystery of missing or inaccessible crypto assets worth about $190 million.
Ernst & Young, the bankruptcy trustee for QuadrigaCX, announced an interim dividend that will distribute about 87% of the funds it currently holds to creditors with proven claims. The dividend amounts to roughly 13% of each creditor's claim, minus some deductions. In total, the claims against QuadrigaCX amount to $223 million from 17,648 creditors, including the Canada Post and the Canada Revenue Agency.
The interim dividend is the result of a long and complex process of recovering and liquidating assets from QuadrigaCX and Cotten's estate. The trustee is still holding some funds as reserve for future disbursements and administration costs. Creditors with disputed claims will not receive any payment until their claims are resolved.
