A Canadian judge has delayed a decision on legal representation for customers of major Canadian cryptocurrency exchange QuadrigaCX. The news was tweeted by Canadian Broadcasting Corporation reporter Jack Julian on. Feb. 14. On Thursday, Feb. 14, the Nova Scotia Supreme Court reportedly brought together over “a dozen” lawyers who represent 115,000 cryptocurrency traders owed around $260 million ($195 million) by Quadriga after the exchange’s founder’s, Gerald Cotten, passed suddenly. Specifically, the customers are seeking CA$70 million ($52 million) in cash and CA$190 million ($142 million) in Bitcoin (BTC) and other cryptocurrencies. Justice Michael Wood reportedly said that he would issue …

Embattled Canadian cryptocurrency exchange QuadrigaCX has become the subject of a bidding war as lawyers meet to win creditor representation, Bloomberg reported on Feb. 12. The hearing at the Nova Scotia Supreme Court on Feb. 14 will decide which law firms can lobby for compensation on behalf of clients of the exchange, which currently owes them around $260 million CAD ($196 million). The sum of $190 million CAD results from cryptocurrency and other deposits which the exchange reportedly lost following the death of its CEO, Gerald Cotten, in December. The ensuing legal action has added another $70 million CAD. In …

Bitcoin (BTC) entrepreneur and advocate Charlie Shrem will receive around $45,000 in legal costs from Tyler and Cameron Winklevoss as part of an ongoing lawsuit, according to an official document filed on Feb. 7. The latest step in the lengthy legal proceedings between the former business partners, a judge at the District Court of the Southern District of New York ruled in favor of Shrem for a second time in the last three months. The Winklevoss twins had instigated an investigation and asset freeze on Shrem after a fallout over money owed from a years-old Bitcoin trade deal. In November, …

The $145 million in digital assets that are reportedly stuck in encrypted cold wallet storage of QuadrigaCX crypto exchange could actually be missing, according to analysts cited by the Wall Street Journal (WSJ) on Feb. 6. In December 2018, the founder of major Canadian cryptocurrency exchange QuadrigaCX, Gerald Cotten, passed suddenly. Cotten was reportedly the sole executive with access to the exchange’s cold wallets. As such, customers have been unable to withdraw funds owed to them, and the exchange has sought creditor protection in Canadian court. A filing from Ernst & Young states, “Quadriga was unable to access the cold …

A lawsuit recently filed in a United States district court in New York claims that an investor was misled into investing $2 million dollars in the cryptocurrency MCash, a Feb. 1 court filing states. The filing alleges that the plaintiff Lijun Sun transferred $2 million to New-York based investment group Blue Ocean Capital Group, Inc. to purchase MCash tokens, stating: “Not only was the MCash Token not properly registered with the U.S. Securities and Exchange Commission (SEC), but more importantly, in connection with selling the MCash Token, Defendants made numerous misrepresentations and omissions that induced Plaintiff to invest $2 million.” …

Following the sudden death of its founder Gerry Cotten, cryptocurrency exchange QuadrigaCX is reportedly missing CA$190 million dollars ($145 million) in digital assets, Canadian news daily The Globe and Mail reports on Feb. 1 Citing a creditor protection filing from the Nova Scotia Supreme court, the Globe and Mail states that the firm has been unable to locate or access the funds since Cotten passed on Dec. 9, leading to a liquidity crisis at the exchange. QuadrigaCX filed for creditor protection in compliance with the Companies' Creditors Arrangement Act (CCAA) on Feb. 1. The exchange only has CA$375,000 ($286,000) in …

Two United States law firms have filed a lawsuit against the developers of altcoin Nano (NANO) as well as Italian cryptocurrency exchange BitGrail, according to a notice published Jan. 7. Crypto-focused law firm Silver Miller and securities law firm Levi & Korsinsky have filed a class action lawsuit representing James Fabian — “and on behalf of all other persons similarly situated” — an investor in Nano, formerly known as RaiBlocks (XRB). The lawsuit alleges that Nano and “key members of its core team” violated federal securities laws and directed investors to open accounts and place funds in “little known, and …

Nistor Vlad Călin, the founder of Romanian crypto exchange Coinflux, will be extradited to the United States, local media company Mediafax reports Jan. 4. As Cointelegraph reported in December, Călin was arrested earlier on a warrant from the U.S. for organized crime, money laundering and fraud allegedly conducted through his cryptocurrency exchange. Călin has been reportedly arrested by the U.S. authorities after a note from a secret service agent accused him of knowingly helping to launder proceedings of criminal activity committed on the territory of the United States. According to the most recent report by Mediafax, Anatol Pânzaru, Călin’s lawyer, …

Graphics processing unit (GPU) producer Nvidia is facing a class action lawsuit over the losses reported by the company when lower crypto prices diminished demand for GPUs by miners. Schall law firm announced the lawsuit on Dec. 24. The complaint states that “the Company made false and misleading statements to the market.” Namely, according to the announcement, Nvidia “touted its ability to monitor the cryptocurrency market and make rapid changes to its business as necessary.” Schall states that the GPU producer also declared: “Any drop off in demand for its GPUs amongst cryptocurrency miners would not negatively impact the Company’s …

Mark Karpeles — the former CEO of now-defunct cryptocurrency exchange Mt. Gox — has affirmed that he is not guilty in the final argument for his trial, Cointelegraph Japan reports Dec. 27. In court in Tokyo on Thursday, Karpeles apologized for not being able to avoid his exchange being hacked, but also reiterated the idea that he is innocent. As Cointelegraph Japan reported, in July, he declared that he treated the subtracted money “as a loan from the company,” and that he was going to settle later. Mark Karpeles has been charged with embezzlement of approximately 340 million yen (about …

The CEO of Romania's largest crypto exchange Coinflux was reportedly arrested on a warrant from the United States for fraud, organized crime, and money laundering, local news outlet Mediafax reported Dec. 13. Coinflux has subsequently stopped all digital currency exchanges. Founded in 2015 in the Romanian city of Cluj, Coinflux is an online digital currency trading platform, with reportedly more than 200 million euro worth of Bitcoin (BTC), Ethereum (ETH), Litecoin (LTC), and Ripple (XRP) in transactions. Vlad Nistor, the CEO and founder of Coinflux, was supposedly arrested on the territory of Romania upon the request of U.S. prosecutors. Nistor …

A Dec. 12 Business Law Blog post from the University of Oxford Faculty of Law notes possible repercussions for lost and stolen crypto claims following a case in a Canadian trial court earlier this year. In the post, SAFE Frankfurt researcher Grygoriy Pustovit notes the case of Copytrack Pte Ltd v Wall. The superior trial court of British Columbia ruled that Ethereum (ETH) tokens, which were mistakenly sent by the plaintiff, Singapore blockchain startup Copytrack, to the defendant, Brian Wall, must be returned to Copytrack. The defendant mistakenly received 530 Ethereum coins from Copytrack instead of 530 Copytrack (CPY) tokens …