Hacked Crypto Exchange Cryptopia Appoints Liquidators

Announcements, News | May 16, 2019 By:

Cryptopia, a New Zealand-based crypto exchange that was hacked earlier this year, has been placed in liquidation.

In January, the exchange suffered a security breach resulting in significant losses. Cryptocurrency experts have estimated that $15 million worth of investors’ cryptocurrencies were stolen, including 19,391 ether (ETH) tokens and around 48 million centrality (CENNZ) tokens.

In a press release, Cryptopia said that the hack had a severe impact on the company’s trade and after failed attempts to re-open the business, it was decided that the appointment of liquidators was in the best interests of customers, staff and other stakeholders.

As such, the exchange appointed David Ruscoe and Russell Moore from consultancy and audit firm network Grant Thornton New Zealand as liquidators. They will focus on securing the assets for the benefit of all stakeholders. The liquidators will also work with independent experts and the relevant authorities with regards to the company’s obligations. While this process and investigations take place, trading on the exchange is suspended.

“We realize Cryptopia’s customers will want to have this matter resolved as soon as possible,” Ruscoe said. “We will conduct a thorough investigation, working with several different stakeholders including management and shareholders, to find the solution that is in the best interests of customers and stakeholders. Given the complexities involved we expect the investigation to take months rather than weeks.”

Grant Thornton will be contacting all customers and suppliers about its appointment in the next few days. It expects to file an initial report on the New Zealand Companies Office website next week.