An engineer based in California has lost his entire savings after he used the QuadrigaCX Cryptocurrency exchange for remittance purposes.
Aged 30, Tong Zou, described to an interview with Bloomberg the opening of a withdrawal request from his account on QuadrigaCX in October of last year.
He explained that he is preparing to move to Canada during those times. His thinking was, that using a Cryptocurrency exchange for moving his money would save him on fees. What happened is that he bought Bitcoins in the US and sent them to his QuadrigaCX account based in Canada for him to convert to cash.
Where did the money go?
Unfortunately, all the withdrawal transaction requests by Zhou and 115 Thousand other QuadrigaCX users were not processed, because the Cryptocurrency exchange has labeled itself bankrupt.
QuadrigaCX has explained that a 190 Million USD equivalent of Cryptocurrencies just went out of their control. It happened after the founder of QuadrigaCX founder, Gerald Cotton unexpectedly died while on a charity trip in India.
It was noted that Cotton was the only one who had been granted access to the exchange’s Cryptocurrency Wallets. After his demise, QuadrigaCX has ruled to discontinue the services they offer and it filed on a local court a Creditor Protection.
Inevitably, the waiting is taking forever. In a statement he made for Bloomberg, he told them that he already moved to Vancouver. But after losing money on the aforementioned exchange, he wasn’t able to provide himself a decent place to live. Also, he is planning to work at a job while living off his savings, but he can’t.
Would his money be refunded?
Along with other Quadriga CX users, Zou is having a conversation thru a Telegram message group. They are turning to Bennett Jones LLP and McInnes Cooper to help then in Quadriga’s ongoing Creditor Protection process in the Nova Scotia Supreme Court.
Last February 5, Quadriga got a 1-month immunity from possible lawsuits. They are looking to get in to Cotton’s computer to get the lost money.