So I'm suing Cryptsy. If you can't withdraw your coins, feel free to add your name to the lawsuit. We will win this.
I've got some pretty disturbing news to report about Cryptsy which I believe is going to cause the site to go full-Mt. Gox, very very soon. If you have any funds at that site, I urge you to read this post, you will thank me later.
They've stolen a huge amount of cryptocurrency from me, but unlike other victims of theirs, I meticulously recorded data which proves their direct theft of my funds, coordinated deception, conspiracy, and direct lying regarding my account. Unlike other victims, between what happened and my Data logs(which I can prove are authentic) vs. what they have said(thinking I did not have such data logs), I caught them in a series of coordinated lies/fraudulent statements through a series of support tickets and emails, indicating that Cryptsy directly stole my coins and then covered it up.
I'm not talking about weak system security or negligence, but direct, outright deception and fraud. I think one of the criminal charges which will come up for Cryptsy as a result of this case will be criminal conspiracy, since the process of theft indicates a coordinated cover up/deception plan.
Essentially, Big Vern = Mark Karpeles.
Higher ups in this Fraud Conspiracy run by Cryptsy include: Jim aka: “Jshock” Customer Service Manager and BitJohn Chief Operations Officer are/were directly involved in perpetuating this fraud/theft. This is in addition to several support and verifications staff, including someone by the support name of “Horus”, who I demanded a real name from, he responded “John MacPherson -- I am not hiding behind a fake support name.” (I am nearly certain John MacPherson is indeed a fake name.) His email signature is “HorusDirector -CryptsyCanada Head of Anti-Fraud and Investigations - Cryptsy.com”. Also, I am US based so Canada should have nothing to do with it.
BRIEF SUMMARY OF FRAUD/THEFT/DECEPTION/CONSPIRACY CLAIM:
1) Cryptsy arbitrarily, blocked, then deleted my withdraw requests from their records. [bT]hey then bypassed all security measures to change my PW and withdraw my funds, without my request, consent, or notification- while continuing(still now) to avoid either confirmation/denial that these events have taken place, and deleting/tampering/altering my login/withdraw/ request info.[/b]
Cryptsy claims even with
correct(and unchanged) UN and PW, logging in from a pre-approved whitelisted IP, with 2-Factor Authentication PIN, and email 2FA confirmation for withdraw- they claim they still have the right to block my withdraws and that I must verify to withdraw.2) On August 28, my ID verification was granted and my support ticket was closed. On Sept 2, they
revoked my verified status and informed me via email.
3) As I was actively receiving “support”, C
ryptsy staff changed my password without my consent, and without notifying me(bypassing ALL the security measures mentioned above), between my successful login on Sept 1 and Sept 2. On Sept 2, I noticed I could not log in, at which point I replied to my support ticket email and asked : “ Did you change my password for logging in???”. Cryptsy stops responding to my support ticket and refuses to answer the question. 4) Then, between Sept 2 and Sept 7, after dozens of back and forth's with support, they claim ignorance of why I cannot log in- continuing to avoid my question of “ Did you change my password for logging in???” . Of the excuses they give for my lack of ability to log in they say: (a) I need to log in from the whitelisted IP[I did] (b) They claimed I used an incorrect incapsula/captcha [there was no captcha in the first denied attempt, and in the subsequent attempts I did enter the correct captcha.]
5) September 5,
support tells me the only way I can access my account is if I change my password. Yes you read that right. The same password that always worked until Sept 2.
{Cryptsy refuses to state up front what data/criteria are needed to change a password, they won't say because they want to ensure the criteria can never be met by me. I would guess/assume the criteria would include having some combination of the original pw, login pin 2FA, using a whitelisted IP to confirm, email 2FA.
Meanwhile, they had changed my password between Sept 1 and Sept 2, bypassing any/all of these security measures which they are asking me(the account owner) for. They never informed me of the password change, and refused to answer my direct question about it when I confronted them with the question.
6) On Sept 6, I was told by BitJohn, the COO ,that there are no records of any login or password change attempts between my Sept 1 login and unsuccessful logins on Sept 4. At this point, I had already told them that I was going to sue if they did not solve the problem and give me my $ back.
Cryptsy deleted/removed/tampered with the login attempt logs, erasing all activity between my last successful login(Sept 2), until Sept 4.
ALL login/PW change/withdrawals on Sept 2 and Sept 3 were deleted from their system. I was informed of nothing, and all changes to my account were made WITHOUT MY REQUEST, CONSENT, OR NOTIFICATION.I tried logging in on Sept 2 (as I have said, the first time I noticed I could not log in) and also Sept 3 a few times, all while in contact with support. I have the email confirms to prove this. Cryptsy erased these records, as well as the password change, from their records.
7) I have asked Cryptsy directly several times if my funds are still in the account.
They continue to ignore the question. I can only assume that when they illegally changed my password after my last successful login on Sept 1, they withdrew the funds from my account(Again, bypassing all the security barriers they demanded from me, and which I had in place to prevent exactly this.-2FA for logins and withdraws, and my one IP which they admitted was a whitelisted IP at the time)Then, they deleted these records (Sept 2-3) to cover their tracks.
Cryptsy still refuses to confirm or deny that they changed my PW, deleted records, or that any funds are missing/withdrawn from my account between Sept 1 and now. They also refuse to confirm or deny how or on what grounds they removed/bypassed my security measures(2fa,whitelist, et cetera) for both PW change and funds withdrawal.
9)
Cryptsy also refuses to put these security measures back on my account(withdraw confirm 2fa, et cetera). If they claim in court that the funds are still (as of now, Sept 7) in the account and not withdrawn during the Sept 1-Sept 7time period- Know that they removed all security measures, so that Cryptsy can withdraw funds from a non-approved IP, without informing me, in the future. I have specifically requested(since 7-11, and now) only the whitelisted IP(otherwise, what is the purpose of a whitelist?) may log into my account and withdraw funds. They've arbitrarily removed my whitelist without reason, and refuse to re-implement security measures, essentially locking the door and then leaving it wide open to be stolen by Cryptsy staff.
10) From my same IP, I opened a totally separate Cryptsy account back in 2013, then I also opened several new/totally separate accounts in late August when my withdraws were blocked. Today I tried to log into these completely separate accounts. ALL logins for all these Username, Password combos were denied with the message “bad username or password”.
JUST AS WITH MY MAIN ACCOUNT DISCUSSED HERE, NEVER DID I ONCE REQUEST A PW CHANGE ON ANY OF THESE ACCOUNTS, NOR WAS I EVER NOTIFIED OF A PW CHANGE ON ANY OF THESE ACCOUNTS.ARE YOUR FUNDS BLOCKED at Cryptsy? Try withdrawing now and see what happens, post your story here:
- My personal guess/estimate is that you have about t-30 days until Cryptsy completely jumps ship Gox style.
- Some ways they will block your withdraws: 1) saying you have a wrong destination address 2) preventing you from trading into other coins to make withdraws from that coin 3) leaving your withdraws as “pending” indefinitely, then canceling the request and wiping the records clean that any request was made. 4) Getting notification within the site that your withdraws have been approved, but some of the transactions never go through. In my case, when I made 3 withdraw requests on 3 coins, they all registered as confirmed and approved, the first went through and the other two were blocked. Check to make sure your withdraw actually made it to the destination address.
Open Message to Big Vern, CEO: Return my 5824 DASH and 19,552 NXT by sending to my confirmed, authenticated withdrawal addresses of : DASH: Xc3owNZf65UHZiWRvXdqzEPmNK9YJ3Z3xo , NXT: 17004580999606687589.There is much more, bizarre and outrageous evidence /proof of Cryptsy's guilt yet to disclose.
If this is actually what happened you need to understand something that is more important than your coins. If Cryptsy had to deny/revoke your verification I am QUITE sure that there was a good reason for this. I dont personally know anything about your particular situation, but KYC ("know your customer") laws are quite strict and if there is a reason why they would DENY your verification, then according to those laws it is their due diligence to lock your account. From what I can tell, Cryptsy has a very active staff involved in adhering to applicable laws that we must, as users, abide by to participate. If you are not compliant with those rules for some reason, does it seem reasonable for them to ignore these rules and put themselves at risk just for you to get your coins? Absolutely not and I would not use the site if they did. Thats how I feel and I do not think I am alone in my views.
