The Ontario Securities Commission initiated an investigation into the major Canadian cryptocurrency exchange QuadrigaCX.
The OSC explained, that its actions are based on the need to protect the Canadian investors, given the potential harm caused to them by the exchange. However, there are no comments whether the investigation is a normal or a special one.
The news about the investigation comes after the claim of the British Columbia Securities Commission announcement, that it has not been providing any regulation to the exchange, because the company hasn’t shown any signs of securities and derivatives trading. In general, the Commission representatives inform, QuadrigaCX hasn’t shown any signs of operations that are normally performed at an exchange.
According to the latest announcements, the harm is meant in relation to the missing funds in the sum of about 145 mln USD, or 190 mln CAD. This loss has been discovered after the death of QuadrigaCX founder.
Quadriga management could not access funds allegedly stored in its cold wallets. According to their statements, the founder kept there almost all assets of the exchange. At the moment the exchange has around 280,000 USD in cash and owes about 200 mln USD to its users.
Reminder: the users of the exchange and the crypto-community in general were skeptical about the dead of the founder. They ever requested to publish the death certificate. This happened especially after the lawyer of the allegedly descended founder named in his will his wife a sole beneficiary of all funds. The wife, Jennifer Robertson, shows the signs of willingness to find the passwords or recovery keys to cold wallets, however, users doubt in her sincerity.