CRYPTSY stopping withdraw locking accounts without notifying users! Class Action

[aardvark15]

It's funny that we haven't heard much from Cryptsy_Jim, Cryptcracker, or Eternal Insolent lately.  Maybe they are plotting their next move.  Or maybe there is no next move.  Or maybe there is no "they" and it is just a "he".

[suchmoon]

It's funny that we haven't heard much from Cryptsy_Jim, Cryptcracker, or Eternal Insolent lately.  Maybe they are plotting their next move.  Or maybe there is no next move.  Or maybe there is no "they" and it is just a "he".

Patience. He's probably brute-forcing the hacker's address. Let's reconvene at the end of the universe to find out if he succeeded.

[aardvark15]

I'm also not buying that there are people still working for cryptsy like Cryptsy_Jim said.  How are they getting paid?  if there's money to pay employees, then why can't they pay for some more withdrawals?

[thoth-Atlantian]

It's funny that we haven't heard much from Cryptsy_Jim, Cryptcracker, or Eternal Insolent lately.  Maybe they are plotting their next move.  Or maybe there is no next move.  Or maybe there is no "they" and it is just a "he".

Patience. He's probably brute-forcing the hacker's address. Let's reconvene at the end of the universe to find out if he succeeded.

LOL I read the first sentence and was like What!?!

But yes end of this cycle might have seen the code cracked

[kiklo]

It's funny that we haven't heard much from Cryptsy_Jim, Cryptcracker, or Eternal Insolent lately.  Maybe they are plotting their next move.  Or maybe there is no next move.  Or maybe there is no "they" and it is just a "he".

Patience. He's probably brute-forcing the hacker's address. Let's reconvene at the end of the universe to find out if he succeeded.

Last I heard Brute Force would take ~ 0.65 billion years give or take a few million.  

 


FYI:

[CartmanSPC]

Hello I have offered to give big Vern the identity of the person that committed the theft against cryptsy and help them be put to justice

So Cryptcracker appears to know the identity of the person who stole the coins and is asking for a % back once recovered. He does not have some magical way to brute force the private keys.

Now it appears that he is not divulging the identity but acting as an intermediary most likely threatening the thief with exposure if they don't comply. I imagine the delay is attempting to communicate with the person holding the coin.

Cryptcracker is putting a lot of trust in Paul that once the funds are recovered he will get paid. He is attempting to use public pressure and exposure of a "contract" as leverage. This exposes a naiveness on his part as it would have been better to have BTC initially transferred to an address under his control and sent the remainder back to Paul.

It is conceivable that Cryptcracker could be wrong as to the identity of the thief.

[suchmoon]

Hello I have offered to give big Vern the identity of the person that committed the theft against cryptsy and help them be put to justice

So Cryptcracker appears to know the identity of the person who stole the coins and is asking for a % back once recovered. He does not have some magical way to brute force the private keys.

Now it appears that he is not divulging the identity but acting as an intermediary most likely threatening the thief with exposure if they don't comply. I imagine the delay is attempting to communicate with the person holding the coin.

Cryptcracker is putting a lot of trust in Paul that once the funds are recovered he will get paid. He is attempting to use public pressure and exposure of a "contract" as leverage. This exposes a naiveness on his part as it would have been better to have BTC initially transferred to an address under his control and sent the remainder back to Paul.

It is conceivable that Cryptcracker could be wrong as to the identity of the thief.

If Mr. Cracker has the kind of leverage you're suggesting wouldn't it be easier to just extort the thief instead of involving BigVern and other risks?

The whole scheme of returning all coins to BigVern and then expecting the bounty within 3 hours makes no more sense than BigVern getting hacked, not telling anyone, buying a fancy house etc. Which is to say - smoke and mirrors. IMHO.

[Gleb Gamow]

Hello I have offered to give big Vern the identity of the person that committed the theft against cryptsy and help them be put to justice

So Cryptcracker appears to know the identity of the person who stole the coins and is asking for a % back once recovered. He does not have some magical way to brute force the private keys.

Now it appears that he is not divulging the identity but acting as an intermediary most likely threatening the thief with exposure if they don't comply. I imagine the delay is attempting to communicate with the person holding the coin.

Cryptcracker is putting a lot of trust in Paul that once the funds are recovered he will get paid. He is attempting to use public pressure and exposure of a "contract" as leverage. This exposes a naiveness on his part as it would have been better to have BTC initially transferred to an address under his control and sent the remainder back to Paul.

It is conceivable that Cryptcracker could be wrong as to the identity of the thief.

http://blog.cryptsy.com/

Here are the transaction details from the Bitcoin wallet:

https://www.walletexplorer.com/wallet/0c07e0bec1002bd2

As you can see,  2014-07-29 13:17:36 is when the event occurred.   A very interesting fact here, however, is that those Bitcoins have not moved once since this happened.    This gives rise to the possibility they can be recovered.   In fact, I’m offering a bounty of 1000 BTC for information which leads to the recovery of the stolen coins.

If you happen to be the perpetrator of this crime, and want to send the coins back no questions asked, then you can simply send them to this address:

1KNi4E4MTsF7gfuPKPNAbrZWQvtdQBTAAa

– Update 2016/01/17 9:51pm –

Additional BTC transactions taken from another wallet on the same day:

https://blockchain.info/tx/e68f52a38f58e71b951a08650e20aea3f62f7331a3f548e99181f6dbf1cc1d51
https://blockchain.info/tx/48721871b11f716688fcf80a91a5c7586a1dddee83d90b84b564f3f29e11504c
https://blockchain.info/tx/790aa7ec2678552c88cf95110c0df4bcc16a72b8f7e6f331292b977cc6e481df
https://blockchain.info/tx/e8bb46bc6ea5f4580dd2b73f5d6a116e9023c84eb7c0fd4f34bcef3aca606fad
https://blockchain.info/tx/f3998a7e2e8b451106327d2c6e7f73ba58c2fd54b4bb3595b18a2d76e7d15f44

Supposedly, Paul Vernon wasn't aware of the additional 500 BTC taken from Cryptsy, pushing the time of the event back a few hours.

For the past couple years, Paul has acted nothing less than a snake, but we're now to believe that he's operating on the up-and-up thanks to a tweet sent back in January of this year.

Seriously, what part of Paul Vernon and Jim Slockney being pieces of pig shit don't you understand?

[Gleb Gamow]

Hello I have offered to give big Vern the identity of the person that committed the theft against cryptsy and help them be put to justice

So Cryptcracker appears to know the identity of the person who stole the coins and is asking for a % back once recovered. He does not have some magical way to brute force the private keys.

Now it appears that he is not divulging the identity but acting as an intermediary most likely threatening the thief with exposure if they don't comply. I imagine the delay is attempting to communicate with the person holding the coin.

Cryptcracker is putting a lot of trust in Paul that once the funds are recovered he will get paid. He is attempting to use public pressure and exposure of a "contract" as leverage. This exposes a naiveness on his part as it would have been better to have BTC initially transferred to an address under his control and sent the remainder back to Paul.

It is conceivable that Cryptcracker could be wrong as to the identity of the thief.

If Mr. Cracker has the kind of leverage you're suggesting wouldn't it be easier to just extort the thief instead of involving BigVern and other risks?

The whole scheme of returning all coins to BigVern and then expecting the bounty within 3 hours makes no more sense than BigVern getting hacked, not telling anyone, buying a fancy house etc. Which is to say - smoke and mirrors. IMHO.

Paul Vernon: Fuck my wife and kids while I now live in China with a new piece of Chinese ass, but I'm going to do everything possible to make sure that Cryptsy's users are whole again because I love them more than anything in the whole wide world.

Makes sense to me. Lock the thread!

[Fontas Returns]

Hello I have offered to give big Vern the identity of the person that committed the theft against cryptsy and help them be put to justice

So Cryptcracker appears to know the identity of the person who stole the coins and is asking for a % back once recovered. He does not have some magical way to brute force the private keys.

Now it appears that he is not divulging the identity but acting as an intermediary most likely threatening the thief with exposure if they don't comply. I imagine the delay is attempting to communicate with the person holding the coin.

If Mr. Cracker has the kind of leverage you're suggesting wouldn't it be easier to just extort the thief instead of involving BigVern and other risks?

The whole scheme of returning all coins to BigVern and then expecting the bounty within 3 hours makes no more sense than BigVern getting hacked, not telling anyone, buying a fancy house etc. Which is to say - smoke and mirrors. IMHO.

Think about it. If he involves himself in blackmailing the thief he then has a bunch of tainted coins that are proceeds of the crime. If he gets the bounty those coins are free and clear.

[Gleb Gamow]

From the desk of How Many Jim Slockney Lies Can You Count?:

I really dont have alot of time for reading this thread and i apologize to those with inquiring minds for that.

Two things id like to clear up.

Me, my wife and a customer support team known as "Support Shift" were brought in to assist in Dec 2013
due to the fast growing user base after that WSJ article came out.

Me and my wife managed that business and it was a perfect ready made team of awesome agents.

Yes, me and Paul worked on afew projects over the years together but i had no idea what a bitcoin was
when we first came to Cryptsy and Bitjohn and others gave me a crash course.


Marshall.  ha  Bloated hot air balloon was how I visioned him right out of the gate.

He did replace our current CTO for a short time but it didnt take long for ppl to lose respect for him because
he would do things like post being co creator.  (100% bullshit)  This pissed off alot of employees who worked'
their ass off and knew better. He may have had some investment, but he wasnt the only one who invested abit im sure.
Marshal was more blow than go

If anyone was Co Creator it was Bitjohn. Not owner but hes been there helping Paul since it was first created.


Eventually Marshal was sent to pasture. Im not exactly sure why, but everyone was glad to see him go including me.

Currently:  I am still Customer Service Manager over the agents handling tickets, our PR guy (Horus), and some
of the verifications for upgrading Tier Levels.


I do not know whats happened. All i know is it all started going bad right after we added the new Tier Level systems for KYC
requirements and the major facelift and feature additions. So I can only "assume" that this is where the problem lies.
I do know this system is an extremely large, very complicated setup and when things go wrong it can prob be tough at times to
pinpoint where a problem lies.

I pass on info to users as I get it. Thats all I can do.

I have been informed that things should begin improving soon, what that entails or means is yet to be seen.

Knowing BigVern for many years, I can attest to the fact that whatever is wrong it is not something intentional or done maliciously by him.
Hes just not that type. He works hard, has a big heart and has always tried to make things right for users.
Im sure in the end this will be no different.

Greenlion was a volunteer mod he doesn't count probably. The layoffs were devs, netadmins and compliance there was a Tier II support employee in there in CS as well. So hes most likely referring to the Tier I CS agents.

Edit: Yes Jim did all the hiring. I was asked to bring him up to speed since the interface, and company was new to him and his team.

Edit 2: I was put on payroll when Jim came to the company for that reason. Yes I worked for Jim for some time.

Edit 3: Was going to quote gleb but its too long Ill just comment. Yes your timeline is pretty accurate 6-12 months not Leroy time. Ginny was not the first accountant. The first accountant left the company about 4-5 months ago. Bryant was the first CTO replaced by Marshall Long who also left a month or two ago. Supportshift was the company that came in and took over support and later just merged in. Yes myself Mullick, Horus and Pr9me were paid all at the same time when Jim was brought in though it was as contractors for the first check or two don't remember exactly. Jim did the hiring though a few folks were already doing most of the support so no he didn't hire them. They did all work for him.

http://search.sunbiz.org/Inquiry/CorporationSearch/ConvertTiffToPDF?storagePath=COR%5C2013%5C0131%5C44196936.tif&documentNumber=P11000090223



http://search.sunbiz.org/Inquiry/CorporationSearch/SearchResultDetail?inquirytype=EntityName&directionType=Initial&searchNameOrder=SUPPORTSHIFT%20P110000902230&aggregateId=domp-p11000090223-d3ee05a5-b53d-4504-9ac4-3b679b9e0567&searchTerm=SUPPORT%20SHIFT&listNameOrder=SUPPORTSHIFT%20P110000902230



To date there's not a one person involved with Cryptsy that has told the truth. NOT A FUCKIN' ONE!

This motherfucker, John William Hammes III aka BitJohn knew the fuckin' truth from the get-go and opted to continue the lie years later. Support Shift was dissolved approximately four months prior to Cryptsy coming online May 20, 2013. Jim Shockney supposedly joins Cryptsy in October 2013.

Ironically, Jeff Ownby of BFL used to work for John's father setting up a distribution in Russia for some sink thingy: https://www.youtube.com/watch?v=0KuRDb2OZaE

Gleb you post here for free yes? So yeah I volunteered just like your volunteering to solve the evils of the world. As far as picking coins yep I did that as a moderator at the time. There were not a million to pick from I maintained the list. The list if you spent some time you would find the old one I emphasized no pre-mine fair releases. I did it because I liked crypto. You post here because you I assume like crypto.

Unless your saying your a paid shill and doing it for money. I do not think saying I volunteered is a reach. I will also say prior to the time I was paid the company didn't make much money. Vern had a side job.... Companies have costs the costs ate the majority of the revenues in the first year.

Cryptsy started on May 20, 2013.

For the first year, you were an unpaid moderator because Cryptsy didn't yet have enough support to pay out salaries after having to pay overhead. This is up to circa Q2, 2014.

Backing up to Q3, 2013, Cryptsy was overwhelmed with users due to the run-up of bitcoins, in turn, myriad altcoins, the viable ones (mostly, supposedly, at the time) trading on Cryptsy. This took enormous personnel to handle, yet you're saying that nobody at Cryptsy save for an accountant was paid for their services during the first year of operation? This doesn't even begin to make sense.

Prior to the run-up just mullick and I worked support and did it as volunteers. The next person hired after accountant was the first developer/CTO. Im really not concerned if you think it makes sense its a fact. The site only had 30k account after the first year.

EDIT:
The support scaled pretty quickly when the support company was merged. Jshock and his crew joined the team. Mullick, and I trained them. Mullick moved to Florida, and started getting a paycheck. I joined after that.

The CTO was Bryant Ibana: http://web.archive.org/web/20131102234026/https://www.cryptsy.com/pages/about



https://www.linkedin.com/in/horus-thesun-48a56241



Don't forget that Horus was hired on in October, 2013, while you were still a moderator. You were still a moderator, supposedly, when you and Mullick trained the support team. I can only guess as to how much arm-twisting Paul Vernon had to do for you to finally start accepting a paycheck from the then-now in-the-black Cryptsy oppose to performing tremendous duties sans pay up to fully getting compensated.

Horus was also a moderator at the time he, Prime and myself all started getting paid the same day shortly after Mullick. So yeah your tracking now. Yes Bryant was the first CTO.

EDIT:
It wasn't my only job unlike everyone else I had a job. I also was not available for 9-5 work.

Im not saying your the bad guy, but at this point gleb how bout letting us try to get the coins back for users without all your extra nonsense?

As far as what was told to users by myself, horus and others who communicated to users: We were not informed as to why there were problems getting coins out until late 2015. We could only go by what little info was being passed to us.

Im not here to justify how the stolen coins were handled and Paul agrees that it should have been handled differently at the time.
However, the coins were stolen and are currently in process of hopefully being returned.
So lets hope for the best on that so that we can make alot of ppl happy and go from there.

December 22, 2015: Jim didn't know what's happening.
March 13, 2016: We knew late 2015.

Jim was hired on in October 2013, not in December 2013.

Jim said that he came directly from Support Shift with a perfect ready made team of awesome agents in Q3 2013, albeit the company was defunct in January 2013, with the awesome agents sitting around with their 'library of thumbs' up their asses waiting till the end of the year when Paul Vernon will put them back on the payroll.

Current: Jim Slockney now wants you to believe that I'm a fuckin' nut case in sprite of the truism I penned above, and that he's the savior for all those that lost millions.

My response? GO FUCK YOURSELF, JIM SLOCKNEY!

[coinits]

Has been a month now since last update from Big Vern.

Not entirely true, Bitebi9 has been updated lots of times...

and now that bitebi9 aka cryptsy china has created a second twitter account "Bitebi9PriceBot" that spams price updates in their continued attempts to fool and trick more people in depositing there.  
I have to say they tweet better english then any other "chinese" exchange.  

Looks like Paul Vernon meets Paul Snow: https://twitter.com/Bitebi9Exchange/likes Talk about a snow job. HAHAHAHAHAHAHHAHAHAHHAHAHAHAH

http://www.factom.com/about-us/

[aardvark15]

Hello I have offered to give big Vern the identity of the person that committed the theft against cryptsy and help them be put to justice

So Cryptcracker appears to know the identity of the person who stole the coins and is asking for a % back once recovered. He does not have some magical way to brute force the private keys.

Now it appears that he is not divulging the identity but acting as an intermediary most likely threatening the thief with exposure if they don't comply. I imagine the delay is attempting to communicate with the person holding the coin.

If Mr. Cracker has the kind of leverage you're suggesting wouldn't it be easier to just extort the thief instead of involving BigVern and other risks?

The whole scheme of returning all coins to BigVern and then expecting the bounty within 3 hours makes no more sense than BigVern getting hacked, not telling anyone, buying a fancy house etc. Which is to say - smoke and mirrors. IMHO.

Think about it. If he involves himself in blackmailing the thief he then has a bunch of tainted coins that are proceeds of the crime. If he gets the bounty those coins are free and clear.

If he blackmails the thief to get the coins, then the original thief knows who has the coins now.  I think they would have to split the coins to keep things quite.  Or maybe they are the same person.

[ThePhwner]

It's funny that we haven't heard much from Cryptsy_Jim, Cryptcracker, or Eternal Insolent lately.  Maybe they are plotting their next move.  Or maybe there is no next move.  Or maybe there is no "they" and it is just a "he".

Patience. He's probably brute-forcing the hacker's address. Let's reconvene at the end of the universe to find out if he succeeded.

I hear there's a hell of a restaurant there. We can pay the tab with the recovered BTC.

[Timelord2067]

There is an interesting announcement from cryptsy:

"Important System Notification

A user who claims to be able to recover the stolen BTC has requested the contract be posted here: https://www.cryptsy.com/cryptsyrecoverybountyfinal.pdf"

What a pitty whoever prepared the pdf doesn't know about using Courier New font to format the PGP properly for readability sake. (and to import the signed messages etc)

adding 1Mr4WJMQCXs9WtvHTwafQnXbtSXCMc9eSr and 1H9utcaSkwstmP4qFgoE3HyBjkM1oeFTLK to watch list.

Is this your own watch list, or is there a set watch list (link please).

(You heard it here first people... )

[Gleb Gamow]

What a pitty whoever prepared the pdf doesn't know about using Courier New font to format the PGP properly for readability sake. (and to import the signed messages etc)

That would be the crypto security guru Paul Vernon, going the "state of Florida" reference.

[suchmoon]

Hello I have offered to give big Vern the identity of the person that committed the theft against cryptsy and help them be put to justice

So Cryptcracker appears to know the identity of the person who stole the coins and is asking for a % back once recovered. He does not have some magical way to brute force the private keys.

Now it appears that he is not divulging the identity but acting as an intermediary most likely threatening the thief with exposure if they don't comply. I imagine the delay is attempting to communicate with the person holding the coin.

If Mr. Cracker has the kind of leverage you're suggesting wouldn't it be easier to just extort the thief instead of involving BigVern and other risks?

The whole scheme of returning all coins to BigVern and then expecting the bounty within 3 hours makes no more sense than BigVern getting hacked, not telling anyone, buying a fancy house etc. Which is to say - smoke and mirrors. IMHO.

Think about it. If he involves himself in blackmailing the thief he then has a bunch of tainted coins that are proceeds of the crime. If he gets the bounty those coins are free and clear.

If he blackmails the thief to get the coins, then the original thief knows who has the coins now.  I think they would have to split the coins to keep things quite.  Or maybe they are the same person.

I was going off CartmanSPC's version that already implies that CheeseCracker is blackmailing or otherwise forcing the thief to give the coins up. So the question is why have the coins go to BigVern first and then hope for a bounty on a flimsy "contract" instead of just telling the thief "send 3000 BTC to this address or else".

Now CheeseCracker is dragging his feet, what a surprise.

[8-bit]

Hello I have offered to give big Vern the identity of the person that committed the theft against cryptsy and help them be put to justice

Cryptcracker is putting a lot of trust in Paul that once the funds are recovered he will get paid.

RED FLAG. "i'll pay you all the funds Vern, then you pay me back my share" Why not just keep your share and send the difference.?!?!

[TheTommyD]

What a pitty whoever prepared the pdf doesn't know about using Courier New font to format the PGP properly for readability sake. (and to import the signed messages etc)

That would be the crypto security guru Paul Vernon, going the "state of Florida" reference.

You're Famous!

I don't think they quoted everything you said

http://themerkle.com/paul-vernon-signs-a-contract-to-recover-stolen-coins-for-a-13-fee/

[aardvark15]

This has probably been stated, but in the slight chance that the funds get returned, and if Cryptcracker is Paul Vernon, then he gets away with the 1750 bitcoin reward and comes away looking like the victim.