Cryptopia goes bankcrupt

[pornluver]

https://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=12231209

I think this is sucks. I think the way it works is that bitcoin will go up but they will have a choice to pay in dollar or in bitcoin at current price.

This is just bullshit.

[Indymoney]

https://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=12231209

I think this is sucks. I think the way it works is that bitcoin will go up but they will have a choice to pay in dollar or in bitcoin at current price.

This is just bullshit.

Please move this subject its belong to Services Discussion not here thanks

[karsyla]

It is a shame really, I feel bad for them, I liked that exchange, especially when they offered NZDT deposits and withdrawals

[pornluver]

https://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=12231209

I think this is sucks. I think the way it works is that bitcoin will go up but they will have a choice to pay in dollar or in bitcoin at current price.

This is just bullshit.

Please move this subject its belong to Services Discussion not here thanks

How to move this? Can I do that?

[N0sferatu]

https://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=12231209

I think this is sucks. I think the way it works is that bitcoin will go up but they will have a choice to pay in dollar or in bitcoin at current price.

This is just bullshit.

Please move this subject its belong to Services Discussion not here thanks

How to move this? Can I do that?

You can move your thread with the bottom-left "move" button.

About the news: this was somehow expected. I never considered cryptopia to be a trusted exchange service.

[rdbase]

Have used cryptopia before the hack happened and they seemed to be a legit exchange as I received my withdrawals without any issues.
But I guess the amount of complaints and the fact they got hacked was just too overwhelming for them to continue doing business.
A shame really and will hurt the use of cryptocurrency in their country of new zealand.

https://www.coindesk.com/hacked-cryptocurrency-exchange-cryptopia-goes-into-liquidation
https://blockonomi.com/hacked-exchange-cryptopia-goes-into-liquidation

[Questat]

Bad for the traders who trust this exchange, but let's call it a regular news in the crypto space, some will succeed while some will fail, just like the real status in the business world.

I am a user of the site, but not a heavy user as I rely more on the high volume exchanges, it's just sad that they were hack and they have no contingency plan in order for the business to continue.

[pornluver]

Is this the appropriate place?

I remember a long time ago someone ask.

Say I gamble 1 million dollar. If I lost I declare bankcruptcy. If I win I make 1 million dollar.

Can people do that?

Is this what cryptopia is trying to pull?

[figmentofmyass]

Say I gamble 1 million dollar. If I lost I declare bankcruptcy. If I win I make 1 million dollar.

Can people do that?

i'm pretty sure you can't. not easily, anyway. this article discusses why:

In short, if it can be shown that you obtained the loan for the money under false pretenses-- lied in some fashion in the process of incurring the debt-- you cannot discharge it. Chapter 7 does not allow you to deliberately cheat someone and use bankruptcy to avoid repaying credit extended to you in good faith (including by a casino) and which you only received because you lied about your ability or intention to repay. It stands to reason: that if you could not be denied a bankruptcy discharge for this reason, bankruptcy would become a license to commit fraud--lie to get credit, then file bankruptcy when it is time to repay.

Is this what cryptopia is trying to pull?

maybe, maybe not. we'll never know for sure.

my personal opinion is they were spread too thin already, they weren't profitable after the hack, and they didn't feel confident they could ever recover or repay their customers. in theory, depending on their financial condition, this may have been the most responsible thing to do.

cross-posting this from another thread re the legal implications:

Appointment of liquidators shows the situation is not good but it also does not mean that it necessarily over.

Liquidators have special powers under New Zealand law - investigative, ability to compel creditors and shareholders to accept a resolution, restructure and cancel contracts like a lease.
http://www.lawsociety.org.nz/lawtalk/lawtalk-archives/issue-880/an-introduction-to-liquidations

They also have the power to continue trading if it is the best solution forward.

[Sithara007]

This is really bad. I had around 0.02 BTC in Cryptopia at the time it shut down, on top of some altcoins and CLM tokens. Now all those funds are gone and I have to wait for many years to get any sort of reimbursement. When they announced that they have resumed the deposits and withdrawals, I thought that everything is OK. That was the reason why I didn't withdrew my coins. And now look at what happened. It is clear that we can't trust any of these cryptoexchanges. They are a bunch of cheats and liars who don't care about their customers.

[pornluver]

Say I gamble 1 million dollar. If I lost I declare bankcruptcy. If I win I make 1 million dollar.

Can people do that?

i'm pretty sure you can't. not easily, anyway. this article discusses why:

In short, if it can be shown that you obtained the loan for the money under false pretenses-- lied in some fashion in the process of incurring the debt-- you cannot discharge it. Chapter 7 does not allow you to deliberately cheat someone and use bankruptcy to avoid repaying credit extended to you in good faith (including by a casino) and which you only received because you lied about your ability or intention to repay. It stands to reason: that if you could not be denied a bankruptcy discharge for this reason, bankruptcy would become a license to commit fraud--lie to get credit, then file bankruptcy when it is time to repay.

Is this what cryptopia is trying to pull?

maybe, maybe not. we'll never know for sure.

my personal opinion is they were spread too thin already, they weren't profitable after the hack, and they didn't feel confident they could ever recover or repay their customers. in theory, depending on their financial condition, this may have been the most responsible thing to do.

cross-posting this from another thread re the legal implications:

Appointment of liquidators shows the situation is not good but it also does not mean that it necessarily over.

Liquidators have special powers under New Zealand law - investigative, ability to compel creditors and shareholders to accept a resolution, restructure and cancel contracts like a lease.
http://www.lawsociety.org.nz/lawtalk/lawtalk-archives/issue-880/an-introduction-to-liquidations

They also have the power to continue trading if it is the best solution forward.

Where is that other thread? Cryptopia lost only 10% of their assets. I think they made a mistake of taking bitcoins and litecoin rather than the stolen assets. Now they have huge imbalance of assets.

[ramesh770]

Say I gamble 1 million dollar. If I lost I declare bankcruptcy. If I win I make 1 million dollar.

Can people do that?

i'm pretty sure you can't. not easily, anyway. this article discusses why:

In short, if it can be shown that you obtained the loan for the money under false pretenses-- lied in some fashion in the process of incurring the debt-- you cannot discharge it. Chapter 7 does not allow you to deliberately cheat someone and use bankruptcy to avoid repaying credit extended to you in good faith (including by a casino) and which you only received because you lied about your ability or intention to repay. It stands to reason: that if you could not be denied a bankruptcy discharge for this reason, bankruptcy would become a license to commit fraud--lie to get credit, then file bankruptcy when it is time to repay.

Is this what cryptopia is trying to pull?

maybe, maybe not. we'll never know for sure.

my personal opinion is they were spread too thin already, they weren't profitable after the hack, and they didn't feel confident they could ever recover or repay their customers. in theory, depending on their financial condition, this may have been the most responsible thing to do.

cross-posting this from another thread re the legal implications:

Appointment of liquidators shows the situation is not good but it also does not mean that it necessarily over.

Liquidators have special powers under New Zealand law - investigative, ability to compel creditors and shareholders to accept a resolution, restructure and cancel contracts like a lease.
http://www.lawsociety.org.nz/lawtalk/lawtalk-archives/issue-880/an-introduction-to-liquidations

They also have the power to continue trading if it is the best solution forward.

Where is that other thread? Cryptopia lost only 10% of their assets. I think they made a mistake of taking bitcoins and litecoin rather than the stolen assets. Now they have huge imbalance of assets.

So you mean to say that cryptopia only lost 10% of their asset and balance 90% they have used it and now they are declaring bankruptcy in the name of getting hacked and lost lot. Then it means that cryptopia exchange have scammed the exchange users funds and now declaring bankruptcy and enjoying the hacked funds.

[yahoo62278]

What do you expect from a small crappy exchange?

[pawanjain]

https://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=12231209

I think this is sucks. I think the way it works is that bitcoin will go up but they will have a choice to pay in dollar or in bitcoin at current price.

This is just bullshit.

I just checked the cryptopia and what you said turns out to be true. I must say that I am lucky because of the following 2 reasons.

1. I had not much balance in cryptopia when the exchange was hacked. I had a few hundred altcoins though, anyway it wasn't much (approx 0.004btc).
2. I had recently logged in to cryptopia to find out that all the wallets except bitcoin were under maintenance. What I did was I converted all the altcoins to bitcoin and then placed a withdrawal.
The withdrawal did take time but at the end of 24 hours I had received the amount of bitcoins in my personal wallet.

Damn I am lucky, if I hadn't done this my coins would have been lost forever.  

Still I feel bad for those who lost their money in the cryptopia hack. That's why they say not to store a big amount on exchanges.

[creeps]

Bad for the traders who trust this exchange, but let's call it a regular news in the crypto space, some will succeed while some will fail, just like the real status in the business world.

I am a user of the site, but not a heavy user as I rely more on the high volume exchanges, it's just sad that they were hack and they have no contingency plan in order for the business to continue.

There's a still possibilities that its inside job, well this is just a small exchange in terms of volume so its a big risk for the traders of this exchange.
Some are lucky to convert their money and withdraw it but most of the users have no more choice but to accept it. I don't know their plan for the liquidation but I hope every user will get at least a small money to compensate their losses. Its very unfortunate for those who trust this exchange.

[Sithara007]

There's a still possibilities that its inside job, well this is just a small exchange in terms of volume so its a big risk for the traders of this exchange.
Some are lucky to convert their money and withdraw it but most of the users have no more choice but to accept it. I don't know their plan for the liquidation but I hope every user will get at least a small money to compensate their losses. Its very unfortunate for those who trust this exchange.

Is there a single exchange out there which we can trust? Back in 2013, I still remember how people regarded Mt Gox as the most reliable exchange available at that time. And in the end, Mt Gox was the exchange which gave us the biggest heist ever happened in the history of cryptocurrency. The Mt Gox robbery happened in 2014, and until now (2019) none of the victims have got any compensation.

[1Referee]

Is there a single exchange out there which we can trust?

No. Regardless of how compliant an exchange is. Not your keys not your coins.

Back in 2013, I still remember how people regarded Mt Gox as the most reliable exchange available at that time. And in the end, Mt Gox was the exchange which gave us the biggest heist ever happened in the history of cryptocurrency.

MtGox has never been a reliable exchange. It suffered from bugs, had a very slow trading engine, the payment options they worked with were shady too, and they charged like 0.5% in trading fees, which was the main reason I didn't use it back then. Most people used it because they knew someone that also used it, or purely based on the SEO that made them pop up at first when you typed buy Bitcoin.

The Mt Gox robbery happened in 2014, and until now (2019) none of the victims have got any compensation.

They have sold insane amounts of coins to cover their debt, but I'm not sure if any of this has been distributed to the victims yet. If not, then later on for sure. Only a matter of time.

[cissrawk]

Whoop, glad i withdraw all my coins before it got hacked.

[bitbollo]

I have some coins in cryptopia (sadly) there. I have literally forgot to have some coins and never withdraw/exchanged during these years. 

About MtGox, they have always reported abnormal btc value versus other exchange.


Regarding complaints, Rehabilitation Trustee has extended the deadline until 28 Oct. 2019.

"Announcement of Order to Change Submission Deadline for Rehabilitation Plan"

A large amount of rehabilitation claims that the Rehabilitation Trustee fully or partially
disapproved remains undetermined for being subject to claim assessment procedures.
Accordingly, it is not possible at this moment to make appropriate provisions in a
rehabilitation plan on modifications of the rights of the rehabilitation claims, repayment
methods, and appropriate measures for the undetermined rehabilitation claims and
therefore to submit a rehabilitation plan by April 26, 2019.
It is expected that it will take some time before such undetermined rehabilitation claims
are determined by the court, and a rehabilitation plan can be submitted.
In light of the foregoing, the Rehabilitation Trustee filed a motion to seek an extension
of the submission deadline of a rehabilitation plan at the Tokyo District Court, and, on
April 24, 2019, the Tokyo District Court issued an order to extend the deadline for a
rehabilitation plan to October 28, 2019

[onecall123]

This is a shame, Cryptopia literally gone out with our money simply reason of hacking. They had the capability to come back, however the truth is I lost my Bitcore token around ~$60 and this is an exit scam. From now, will try not to leave my cryptos on the exchange anymore.