QuadrigaCX Hands Over Chunk of Cryptocurrency Holdings to EY

The ongoing saga surrounding cryptocurrency exchange QuadrigaCX took another, rather dull, turn this Thursday as the company transferred its cryptocurrency assets to consultancy firm EY.

One of ‘the big four’ consultancy firms, EY has now taken control of a sizeable portion of the cryptocurrency exchange’s assets.

QuadrigaCX was ordered to transfer the assets to EY by Canadian authorities. The auditor was appointed by the Supreme Court of Nova Scotia as the company’s monitor on February 5.

A report released by the court on Thursday shows that QuadrigaCX was made to transfer 51.1 Bitcoin Bitcoin While some may still be wondering what is Bitcoin, who created Bitcoin, or how does Bitcoin work, one thing is certain: Bitcoin has changed the world.No one can remain indifferent to this revolutionary, decentralized, digital asset nor to its blockchain technology.In fact, we’ve gone a long way ever since a Florida resident Laszlo Hanyecz made BTC’s first official commercial transaction with a real company by trading 10,000 Bitcoins for 2 pizzas at his local Papa John’s.One could now argue that While some may still be wondering what is Bitcoin, who created Bitcoin, or how does Bitcoin work, one thing is certain: Bitcoin has changed the world.No one can remain indifferent to this revolutionary, decentralized, digital asset nor to its blockchain technology.In fact, we’ve gone a long way ever since a Florida resident Laszlo Hanyecz made BTC’s first official commercial transaction with a real company by trading 10,000 Bitcoins for 2 pizzas at his local Papa John’s.One could now argue that Read this Term, 33.3 Bitcoin Cash, 2,032.7 Bitcoin Gold, 822.3 Litecoin, and 951.5 Ether.

That report indicates that EY will be holding on to that cryptocurrency until the court decides otherwise.

“[EY] will hold the cryptocurrency in Cold Storage Cold Storage Cold storage is a computer system or mode of operation that is designed for the retention of inactive data, in this case private keys for cryptocurrencies. This helps put up resilient barriers against theft by hackers and malware, and is often a necessary security protocol especially dealing with large amounts of Bitcoin.In order to “own” a cryptocurrency, one must be in control of a cryptocurrency’s private keys. As such, private keys are long strings of random characters that can be used to se Cold storage is a computer system or mode of operation that is designed for the retention of inactive data, in this case private keys for cryptocurrencies. This helps put up resilient barriers against theft by hackers and malware, and is often a necessary security protocol especially dealing with large amounts of Bitcoin.In order to “own” a cryptocurrency, one must be in control of a cryptocurrency’s private keys. As such, private keys are long strings of random characters that can be used to se Read this Term,” said the court, “pending further order of the Court.”

EY in cold storage

In accordance with the orders, the cryptocurrency will be kept offline in cold-storage wallets to prevent hackers from stealing it. EY will be responsible for keeping the digital assets secure now that they have been transferred.

Although a sizeable chunk of its assets has been handed over to the auditor, QuadrigaCX still holds 104 bitcoins in custody.

And, although the cryptocurrency handed over to EY is worth hundreds of thousands of dollars, it is by no means enough to cover the estimated $190 million that the exchange owes its clients.

Some of that money looks set to be recovered from Costodian, a custodial services provider that has already handed over approximately $15 million to Canadian authorities.

But, for the long run, things at QuadrigaCX look messy. With disputes still raging over who owes what and companies, including Costodian, demanding cash alongside investors, don’t expect this case to end for a while.