Cryptocurrency platform QuadrigaCX should be placed in bankruptcy monitor

HALIFAX — The court-ordered monitor picking over the remains of the shuttered QuadrigaCX cryptocurrency platform says the insolvent operation should be placed in bankruptcy.Ernst and Young says it has concluded there is only a remote possibility the Vancouver-based company will emerge from creditor protection and restructure.The professional services firm says its ongoing investigation to recover $260 million in cash and cryptocurrency owed to 115,000 users could be handled more efficiently under the Bankruptcy and Insolvency Act.The exchange was shut down Jan. 28, more than a month after its lone director — 30-year-old Gerald Cotten of Fall River, N.S. — died suddenly while travelling in Jaipur, India.Soon after his death was announced, court documents revealed he was the only QuadrigaCX employee who knew the encrypted pass codes needed to access $190 million in missing Bitcoins and other cryptocurrency locked in offline digital wallets.According to the documents, another $70 million in cash is owed to users, much of which was tied up in bank drafts held by third-party payment processors.Quadriga Fintech Solutions Corp. and its related companies were granted protection from creditors under the Companies’ Creditors Arrangement Act on Feb. 5.The Canadian Press

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