Who was Gerry Cotten? Crypto King figure explained

Some background — I had been getting a few direct messages from QuadrigaCX traders who also lost money on Cryptopia, the NZ-based altcoin factory that recently went kaput. This led me into researching Cryptopia and learning the two exchanges shared a few commonalities. The bonds will be issued on Blockstream’s Liquid Network. 0xSifu’s wallet currently has $70 million worth of crypto in it. Earlier, it held over $450 million worth of various coins. MyCrypto founder Taylor Monohan, who was in the QuadrigaCX documentaryDead Man’s Switch, tagged Patryn’s wallet in 2019, after she herself lost money on QuadrigaCX.

  • January 22, 2020 — EY’s 5th trustee report reveals the accounting firm racked up nearly $500,000 USD in costs responding to law enforcement requests in the second half of 2019.
  • The perks of blockchain technology are that everything is stored in a distributed ledger technology and is transparent.
  • Good things never seem to last, and in May 2013, Budovsky was arrested in Spain for running a massive money laundering enterprise.
  • Michael Patryn, the early cofounder of failed crypto exchange QuadrigaCX, has returned to crypto.

According to reports, Gerald had a sudden death in India and died with millions of dollars for which he was solely responsible. When Bitcoin started crashing before Cotten’s death and people tried to withdraw their money all at once, Cotten’s company was on track to lose millions of dollars. Gerry would trade with the fake assets and send real money to his international exchanges, essentially laundering money and playing casino with everyone’s money. He was no criminal mastermind, as what Gerry was doing amounted to high-stakes gambling or a Ponzi scheme ; he lost over $150 million doing it.

Why do people think Gerry Cotten faked his death?

However, for her the fact that she hardly knew the man she married was an utter shock. All his lies completely broke her and made her pay with death threats, and shame. In her early days, she trusted Gerald, people sent life-threatening messages to her thinking she was involved. However, later she participated in police activities, looking for sources, and is still learning about him.

What Quadriga really did with the money that customers gave it to buy Bitcoin remains a mystery. Quadriga Fintech Solutions was the owner and operator of QuadrigaCX, which was believed to be Canada’s largest cryptocurrency exchange. In 2019 the exchange ceased operations and the company filed for bankruptcy with C$215.7 million in liabilities and about C$28 million in assets. According to official reports, by the end of 2017, there were some 20,000 fake bitcoin on Quadriga. Clients have no idea they have been paying cash for fake crypto. As market prices plummet, when customers go to sell their bitcoin, Cotten struggles to come up with the money to cover it.

Netflix Life

An issue in the computer wiped off fourteen million dollars of Ethereum, while an exchange bank in Canada froze twenty-one million dollars. The Bitcoin Widow is a well-known incident within the global crypto community. The real-life story revolves around a woman who was deceived by her own husband in a multi-million dollar scandal. The twist started when the sole person responsible for the management of public crypto assets worth $215 million dollars was dead. The scandal was not any ordinary exchange fiasco, and comprised changing identities, a marriage, a last-minute will, and the circumstances which led to the untimely demise of an asset manager.

“They are suspicious and are coordinating with the FBI,” Reddit user “u/e_z_p_z-” wrote in quoting someone on Telegram. I contacted RCMP to verify, but they were tight lipped on the matter. “The RCMP is aware of the allegations against QuadrigaCX. We will not be providing any further information,” ethereum developers are at loggerheads with miners a spokesperson told me. Now a reporter has come forward saying that after he wrote a story on WB21, a thug appeared at his door. What’s weird is that nobody outside of Ernst & Young , the the court-appointed monitor, knows what the “potential” conflict of interest is exactly.

Cotten and Patryn on BlackHatWorld

C$28 million held by Costodian, a Quadriga payment processor, was frozen by the Canadian Imperial Bank of Commerce in January 2018. CIBC stated that they could not determine the how to buy bitcoin in the uk in 2021 ownership of the money and could not contact Cotten or Quadriga. In November 2018 the case was decided with the accounts going to the court to decide the ownership individually.

gerald cotten

OSC agent Daniel Tourangeau details how Gerry operated the Quadriga scam. He used multiple fake accounts to credit users with fake assets and would then trade against the cryptocurrency with their actual dollars. Quadriga raised nearly C$850,000 in private capital, but Cotten ultimately abandoned the effort after a dispute with one of the major investors. Quadriga’s entire board resigned, leaving Cotten as Quadriga’s only full-time employee.

What happened to “Crypto King” Gerry Cotten?

He explained that his firm was stepping down in response to concerns brought up by court-appointed monitor Ernst & Young. More than six months since Intercontinental Exchange , the parent company of the New York Stock Exchange, revealed its plans for a bitcoin futures market, Bakkt is still awaiting regulatory approval. CBOE Futures Exchange , the first U.S. exchange to introduce a bitcoin futures product in December 2017, has decided to pull the plug onbitcoin futures trading. If you want to share your ideas, submissions are open until May 15.

  • Bithumb, the largest cryptocurrency exchange in South Korea, plans to shed 150 of its 310 employees, according to CoinDesk.
  • “S&S Investments is an interesting program because it was operated by a ‘well known’ person in the HYIP arena.
  • But why was Cotten’s body taken from the hospital where he died back to the hotel where he had been staying?

Cotten arrived at the hospital in a “critical condition” with “pre-existing Crohn’s disease and was on monoclonal antibody therapy every 8th week.” He was diagnosed with septic shock and other horrible things. January 29, 2019 — Cotten’s widow moves to protect her property. December 13, 2018 — The Angel House orphanage that Cotten and Robertson funded opens in Venkatapuram, India. The building is still missing several doors, including one to the bathroom. Additionally, she is uncomfortable with the lack of detail and documentation surrounding the death.

Mr.Cotten is a graduate of the Schulich School of Business at York University,having received his Bachelor of Business Administration degree in 2010. Mr.Cotten has been working with digital currency for approximately 11 years and inSeptember 2014 became certified as a Bitcoin Professional by the CryptoCurrency Certification Consortium. Some Reddit users have suggested that Cotten faked his own death in order to defraud customers bitcoin and cryptocurrencies and abscond with the funds himself. Gerry, full name Gerald, was a Canadian Bitcoin investor, who founded the cryptocurrency trading platform Quadriga CX. Suspicions were fuelled when his name was misspelled on his death certificate and by the fact that he had prepared his will just days before his honeymoon. At the time of his passing, he had over CA$250 million [$200 million] and the passwords to Quadriga’s accounts.

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