Whether the 17,000 former QuadrigaCX-users with a view to their claims of a debacle as his time at Mt. Gox escape?

Tens of thousands of former QuadrigaCX customers have their claims against the now-dissolved registered stock exchange. A lawyer is afraid of Mt under reference to the case of the 2014 collapse of the stock exchange. Gox, the dispute could be a long-term task.

In his role as a QuadridaCX insolvency administrator, the company, Ernst & Young (EY) reported that almost 17,000 of former users made claims on a assets refund to the closed stock exchange claimed.

According to the Trustee have been registered in the past 12 months, 16.959 applications, in many applications it is a matter of Pro-rata capacity payments in digital currencies such as Bitcoin (BTC), Ethereum (ETH) or Litecoin (LTC).

In other applications, it should go in turn to withdrawals of Bitcoin and Cash (BCH), Bitcoin SV (BSV), as well as Bitcoin, Gold (BTG). Also, many of the requested findings of the court-appointed inspector in order to help to get exchange deposits in Canadian dollars or US dollars.

From the documentation of 12. May from EY shows that the claims in the range of a minimum of 167 and a maximum of 300 million USD could move.

The claim calculations apply to all applications for and evidence of EX-QuadrigaCX customers, the up to date 06.05.2020 at Ernst & Young templates. The actually time period for filing claims passes on the 31. August, however, are not excluded Changes. Later documents could be submitted, as it is said on the part of the insolvency administrator.

At E&Y have a necessary of all to the distribution of funds intended first of all a conversion to Canadian dollars (CAD) or similar equivalent foreign currency demand. A basis for the evaluation in this point is not yet available.

• QuadrigaCX expects the effort with some time

While the claims of E&Y are now available, so that the work can be quickly started. Nevertheless, it will take most likely months, or even years, to payments to users are made fully and it comes to the necessary compensation to the victims.

As a bankruptcy lawyer in CoinDesks Consensus Distributed active Evan Thomas draws Parallels to the Bitcoin exchange Mt. Gox. This collapsed in the year 2014 in the Bankruptcy. Thomas points out that the solution to this “Case” is now pending for more than five years.

For delays Thomas worries could be that the Canadian Revenue Agency (CRA) have submitted a request for the payment of certain tax liabilities. QuadridaCX-users would have to set, under certain circumstances, a long time up to the selection, if there is a dispute between the customer and the tax authority. Before money can flow, would then have to be done the hassle out of the world.

The law firm Miller Thompson called on as a representative of the QuadrigaCX victims of the CRA in a letter on Tuesday to the position of a claim. This should be done before again money is appeared to former exchange customers will be paid out.

The tax authority will start the audit in the case of the insolvent exchange. With a request in connection with unpaid taxes is to be expected.

A problem could arise if the capital distribution to individual investors or groups of investors can be a difference between the planned disbursement amount, and the Trustee guidelines recognize. Users could challenge the distribution. Here, too, delays threaten to, as a lawyer, Thomas emphasized.

In January 2019, the BTC-exchange QuadrigaCX had filed their bankruptcy petition. The previous was the sudden death of the stock exchanges-CEO and founder Gerald Cotten. He alone was in possession of the access data, and private keys to the accounts and Wallets of the stock exchange. Died Cotten in India.

Already in February of the same year, Ernst & Young took over as Trustee of the rudder. On the Basis of the former Bitcoin exchange rate of deposits in the amount of 167 million USD were gone. Based on the current exchange rate, equivalent to the total volume, even a sum of 300 million US dollars. Until now, the E&Y experts, according to its own statements, especially from third party companies as a business partner of the stock exchange, were assets to the value of 30 million US dollars to bring back.