Cryptopia Liquidators Release First Report on Exchange’s State of Affairs

 

 

 

 

Cryptopia’s assigned liquidator, Grant Thornton, released its first report on the exchange’s state of affairs on Friday, May 31. In a press release announcing the report, the firm noted that it is continuing its efforts to secure assets that were lost in a January hack of the exchange.

In the report, Grant Thornton provided its estimates of Cryptopia’s current financial position, including both assets and liabilities. According to the liquidators’ assessment, the exchange has assets with an estimated book value of $3,470,258. That amount does not include any land or buildings owned by the company. Cryptopia’s total liabilities are estimated at $4,224,898.

Those liabilities include $1,466,134 in secured creditor claims, 2,167,036 in unsecured creditor claims, and $318,845 owed to preferential creditors. That latter amount includes employee entitlements.

The press release confirmed that liquidators have obtained a New Zealand Court Order empowering them to use “certain crypto-assets to recover, preserve, and protect assets.” The announcement also suggested that there is no current estimated date for completion of the liquidation. Liquidator Russell Moore acknowledged the frustrations expressed by many of the exchange’s customers:

“As liquidators we have a responsibility to protect and preserve crypto-asset holdings for the benefit of those entitled to them.

 

We are aware of and understand the frustration of Cryptopia’s customers. As there is no legal precedent on crypto assets in New Zealand and worldwide, the distribution of those assets and the overall conduct of the liquidation will require significant direction from the New Zealand Courts.”

Author: Ken Chase

Freelance writer whose interests include topics ranging from technology and finance to politics, fitness, and all things canine. Aspiring polymath, semi-professional skeptic, and passionate advocate for the judicious use of the Oxford comma.

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