The High Court in London has ordered Moopay Ltd, the entity behind the Moopay exchange operated by Alex Green, to return 750 BTC (now worth $262,500) to the developers of Syscoin.
The Syscoin team reportedly raised the bitcoins through a crowdsale. The struggle to recover their funds is part of a larger fiasco that has seen Green suddenly declare his operation insolvent, citing a software bug.
Moolah took over altcoin exchange MintPal in July, and the companies were to transition their operations during the folowing months. The funds of locked MintPal accounts, worth the equivalent of $1.4 million, were observed flowing into and then out of another address. MintPal says it has gained access to a small portion of funds that failed to migrate as part of the transition.
Filling the Gap Between Brokers, LPs, and ClientsGo to article >>
Green, who mentioned that he changed his name from Ryan Kennedy “in an attempt to start my life over and have some peace”, is allegedly linked back to other identities and is accused of being a serial fraudster.
On Friday, the court issued an emergency injunction upon request by Syscoin’s legal representative, Selachii LLP. Green and Moopay have been unresponsive. Yesterday, a final injunction ordering the payment by 16:00 GMT today was issued.
The challenge will now be the injunction’s enforcement. Authorities exercise no control over cryptocurrencies, as per their very definition.