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Friday, February 8, 2019

QuadrigaCX: Opinions and Sources


Image Source: PrestonMartelly.

[NOTE (7 April 2020): Updates on this post after March 2019 were interrupted by the hospitalization and subsequent death of a family member. If I update information on Quadriga, they will appear in new posts.]

 This blog will embark on a larger exploration into decentralized institutions and how they are relating to mainstream institutions, governments and globalism. To support that research, this post will feature links, opinions, and sources on the QuadrigaCX crypto exchange collapse. See my initial post on QuadrigaCX's meltdown, here.


11 February 2019: TRON CEO Justin Sun offered a job to QuadrigaCX client Tong Zhou who lost $422,000 on the exchange. Image Source: UToday.


Vlog - QuadrigaCX, how I lost my life savings, how I am dealing with it so far.. (15 February 2019). Video Source: Youtube.

By the second week of February 2019, the picture of QuadrigaCX as presented by CEO Gerald Cotten's widow, Jennifer Robertson, began falling apart under scrutiny of different cryptocurrencies' blockchains. See the 'Blockchain Forensics' section below in this post for details.

Social Media Innovation:
Crowd-Sourced Truth and Justice

In an innovative twist, Quadriga's users banded together on social media in early February 2019 to change the narrative. Instead of the funds being automatically lost, they set out to discover the truth about the exchange, because this affair is possibly "just the tip of the iceberg" in the cryptosphere and beyond it.

Together, Quadriga's users are launching their own investigation and are slowly turning the tide of opinion, first in the establishment, which refuses to touch the crypto space or treat it as a legitimate enterprise. On 8 February 2019, Reuters reported that Canada's biggest securities regulator (the Ontario Securities Commission) was looking into QuadrigaCX and cooperating with an RCMP investigation.

Second, Quadriga's users may sway the crypto sphere, where conventional wisdom and cynicism take lack of trust for granted; anyone who leaves fiat or crypto on an exchange is considered a fool who got what is coming to him or her. Some crypto users would rather look the other way and look at this crime as a non-issue. Quadriga is a transitional test case for mainstream adoption; thus, complacency in crypto circles about the collapse of this large exchange and crimes committed therein will affect that space over the long term.

Unfortunately, it appears that there was a difference between what Quadriga seemed to be and what it really was. Informal investigations and unconfirmed and dodgy information related to Quadriga are listed in the 'Theories' section near the bottom of this post.

On 7 February 2019, Quadriga's users set up a Wiki, qcWiki.org dedicated to their online investigation. Declaring that they were seeking "Crowd Sourced Truth and Justice," the site's founders stated:
"The events surrounding QuadrigaCX are extremely suspect; the official story simply doesn't make sense. As things stand, we're left with a mix of facts, rumors and hearsay. This wiki has been created to organize and verify facts. It will help eliminate the spread of misinformation, bring clarity to those interested in following the case and help law enforcement with their investigation.

If you have information/evidence of potential crimes committed by QuadrigaCX or individuals associated with it, you can contact RCMP Toronto West who are currently investigating.

Phone: (905) 876-9500




-This post will be continually expanded and updated in chronological order and will serve as a resource and links dump for researchers. Suggestions are welcome in the comments below the post. Over time, I will try to make it as complete as possible.

QuadrigaCX Documents

Quadriga Clients' Groups, Discussions and Forums
  • Telegram group: Fighting QuadrigaCX
  • Telegram group: Quadriga Uncovered
  • Telegram group: QuadrigaCX Creditors
  • Telegram group: QCX Investigation
  • Telegram group: Quadriga Monitor
  • Twitter: here and here
  • Reddit: subreddit1 and subreddit2
  • Youtube videos on Quadriga and QuadrigaCX
  • Facebook Group: QuadrigaCX Fund Recovery
  • qcxWiki
  • exitscam.ca: Mitch Airey's site (in development) dedicated to the Quadriga imbroglio
  • Change.org (18 February 2019): Mitch Airey launched a petition and began organizing a protest at the Nova Scotia court on 5 March 2019: Do not grant QuadrigaCX an extension on their CCAA protection, and pursue criminal charges
  • Facebook (5 March 2019): Planned protest at Nova Scotia court: Protest for criminal investigation into Quadriga & Jen Robertson: "On March 5, 2019, all Canadians who are willing, able, and passionate about cryptocurrency will stand in unison against the gross misjudgement to grant QuadrigaCX a stay against legal proceedings. A judge, out of his depth, believed Jennifer Robertson when she claimed no involvement in her sworn affidavit, despite very little rigour on his part in determining if this were fact. In fact, numerous creditors have reported receiving Quadriga withdrawal payments from Jen. What's more, is that there was an official Quadrigacx.com email address is registered to Jen. She lied in her affidavit, she is complicit, and justice must prevail. Join us in a show of numbers. Enough memetic rhetoric on Reddit, all that does is preach to the choir. We need to preach to government, the media, and the general populace."
  • Miller Thomson LLP (19 February 2019): Dedicated page regarding legal representation of Quadriga's clients


General Reports

The Truth About QuadrigaCX (4 February 2019). Video Source: Youtube.

Explaining the QuadrigaCX Situation and Moving Forward (4 February 2019). Video Source: Youtube.

Belly Up for this large Canadian Crypto Exchange? - QuadrigaCX Part1 (28 January 2019). Video Source: Youtube.

Shell Companies and Planned Fraud? The WCX Web – Part 2 CryptoCapital (6 February 2019). Video Source: Youtube.

  • QuadrigaCX main site
  • Amy Castor (2019): How the hell did we get here? A timeline of Quadriga events
  • Facebook: QuadrigaCX; address listed on Facebook: 223-2055 Commercial Drive, Vancouver, British Columbia Call (604) 243-7056
  • qcxWiki
  • Better Business Bureau (December 2018): BBB launches an investigation into Quadriga's business practices
  • Global News (4 February 2019): How crypto exchange QuadrigaCX lost access to $190 million of customers’ money
  • Coinspice (4 February 2019): DEEP DIVE VIDEO: The Truth About QuadrigaCX, Millions Lost, Paper Trail Gets Weird
  • Chronicle Herald (4 February 2019): Case in Halifax court today, bitcoin worth about $190 million missing after CEO’s death
  • The Economist (9 February 2019): What happens when your bitcoin banker dies?
  • Go CryptoWise (10 February 2019): QuadrigaCX: A Timeline of Events
  • Global News (14 February 2019): Many questions, few answers for clients of QuadrigaCX after lawyers confer
  • Maclean's (14 February 2019): The painful (and costly) lessons I learned from a cryptocurrency scandal








Quadriga Prior to Cotten's Reported Death


  • Amy Castor (2019): How the hell did we get here? A timeline of Quadriga events
  • Globe and Mail (8 February 2019): "Mr. Cotten founded Quadriga in 2013, making it one of the first Canadian cryptocurrency exchanges. He partnered with another regular in the bitcoin scene, Michael Patryn, and registered the company in British Columbia. While Quadriga had offices in Vancouver and Toronto and four employees by 2015, profitability was elusive. According to a prospectus filed that year during a botched attempt to go public, the trading platform took in a meagre $22,168 in revenue during the three-month period ended Jan. 31, 2015. Its net loss for the period was almost $90,000. But the company saw raising money to list on the Canadian Securities Exchange (CSE) as a way to help it grow. That’s where Mr. Patryn came in. In addition to being a co-founder and a shareholder, he had a consulting contract with Quadriga and advised the company on the effort to list. As word spread of the initiative, he was approached by a Vancouver businessman named Robert Lawrence, who offered to help recruit investors and take the company public, according to a lawsuit Mr. Patryn later filed against Mr. Lawrence. In Mr. Patryn’s telling, Mr. Lawrence failed to perform his duties properly and the company was never able to list. Mr. Lawrence raised a total of $850,000, of which $150,000 came from Mr. Patryn. But by June, 2015, the company had run out of money and lost 45 per cent of its market share, according to Mr. Patryn’s statement of claim. Mr. Patryn said much of the money had to be spent correcting the 'poor quality' of Mr. Lawrence’s work. Investors pitched in another $600,000, including $200,000 from Mr. Patryn, to keep the company from failing."
  • Coindesk (18 February 2015): Canada Looks for Bitcoin Exchange Leader Amid Market Turmoil: "Cotten, in turn, spoke to Quadriga’s security strengths, noting that the exchange uses multi-signature cold storage to secure bitcoin holdings. Fiat holdings, he continued, are held at unspecified Canadian financial institutions. 'Quadriga takes security seriously, and employs a number of policies and procedures to ensure that both client information and client funds remain completely safe.'"
  • Youtube (12 March 2015): Salon Talks: QuadrigaCX to be the first Bitcoin Exchange to IPO
  • Reddit and archived page (12 May 2017): Why does Quadriga use 'Quadriga Bucks'?: "I am a Quadriga user, never had any problems with them, but this was brought to my attention and it worries me. 'All account fundings are considered to be purchases of QuadrigaCX Bucks. These are units that are used for the purposes of purchasing Bitcoin or other cryptocurrencies. QuadrigaCX Bucks are NOT Canadian Dollars. Any notation of $, CAD, or USD refers to an equivalent unit in QuadrigaCX Bucks, which exist for the sole purpose of buying and selling Bitcoin and other cryptocurrencies.'"
  • Globe and Mail (8 February 2019): "in 2017 an astonishing $1.2-billion worth of bitcoin was traded through Quadriga, according to a data analysis conducted by The Globe. Quadriga took a commission on every trade. ... Quadriga did not have any corporate bank accounts to handle customer funds. (The mainstream financial industry has been cautious about providing services to the cryptocurrency industry, in part because of concerns about money laundering.) Instead, it established a network of third-party payment processors to open accounts with banks to facilitate transactions. Mr. Cotten’s friend Mr. Perklin said his father, a Quadriga user, was told to wire $10,000 to a bank in Poland last fall. Mr. Perklin fired off an e-mail to Mr. Cotten to check if the instructions were legit. Mr. Cotten assured him they were. The deposit was never properly credited to the account, however, and Mr. Perklin’s father was still trying to sort it out when Quadriga suspended operations last month."
  • Globe and Mail (8 February 2019): "In December, 2017, millions of dollars starting pouring into CIBC bank accounts belonging to Quadriga payment processors. In less than three months, hundreds of Quadriga users deposited $67.1-million as they scrambled to cash in on the bitcoin craze. The bank noticed the sudden influx of cash and, in January, 2018, froze more than $25-million held in accounts that belonged to Costodian Inc., one of Quadriga’s payment processors, and its owner, Jose Reyes. In Ontario court filings, CIBC said it froze the accounts because it couldn’t determine who owned the funds – Quadriga, Costodian or the 388 people who deposited money into the accounts to buy cryptocurrency. The bank also received wire recalls from a number of depositors. Quadriga fired back that the majority of the money belonged to the company – and that CIBC was wrong to freeze it."

A list of Quadriga's payment processor entities and companies. Image Source: qcwiki.

QuadrigaCX used numbered company 1009926 B.C. LTD. to receive payments. Image Source: Archived screenshot from QuadrigaCX.

In May 2017, a user on the forum Bitcointalk concluded that Quadriga was a rebranded version of the company CoinWallet, after linking both to payment processor company 1009926 B.C. LTD. This discussion followed Bitcoin spam stress tests conducted by CoinWallet, in a September 2015 controversy. Image Source: Bitcointalk.

  • Bitcointalk (23 May 2017): A forum member on Bitcointalk considers QuadrigaCX to be a rebranded version of the company CoinWallet.eu, which stirred up controversy September 2015 by launching Bitcoin stress tests. See here, here, here, here, here, here: "Coinwallet is probably QuadrigaCX - Canadian firm - they seem to have re-branded themselves. They are using the same numbered company 1009926 B.C. LTD." 1009926 B.C. LTD. was registered under its incorporation number in August 2014.
  • Bitcointalk (23 May 2017): A forum member on Bitcointalk concludes that the company 1009926 B.C. LTD. used by CoinWallet.eu and QuadrigaCX had a parent company (a proprietor or owner company), 0984750 B.C. LTD., incorporated on 23 December 2013. "The registration number at Financial Transactions and Reports Analysis Centre of Canada (FINTRAC) is M13547855." Previously located at 140-332 Water St, Vancouver, BC Canada V6B 1B6; later listed at 1500-701 West Georgia Street, Vancouver, BC Canada V7Y 1G5 with telephone number +1 (416) 452-6667. The registration of this parent company expired on 30 November 2016. See registration information here and here.
  • Global News (27 March 2019): ‘I just want my money back.’ Couple had $100K wire stuck for months after trying to buy Bitcoin
  • Ontario Superior Court of Justice (9 November 2018): Canadian Imperial Bank of Commerce v. Costodian Inc. et al, 2018 ONSC 6680
  • Globe and Mail (13 November 2019): Judge rules with CIBC, grants possession of disputed Quadriga funds to Ontario Superior Court: "Meanwhile, Quadriga had argued in court documents that it is the undisputed owner of the majority of the funds and that CIBC was wrong to freeze the accounts. In a ruling issued Nov. 9, Judge Glenn Hainey of the Ontario Superior Court agreed with CIBC’s position that it’s unclear who owns the funds. The judge ordered the bank to hand the money over to the Accountant of the Superior Court and allow the court to determine who the money belongs to. But the judge declined to weigh in on whether the bank acted improperly by freezing the funds."

Source: Facebook. The image is here.

  • Coinspice (4 February 2019): DEEP DIVE VIDEO: The Truth About QuadrigaCX, Millions Lost, Paper Trail Gets Weird: "It turns out the accounts were frozen by CIBC because Jose Reyes, the man in charge of fiat withdrawals at Quadriga, had attempted to transfer $2.3 million to his personal accounts with CIBC in December 2017. This is when the bank froze Quadriga’s account and this transaction. CIBC then attempted to speak with the CEO, Gerald Cotten, but he refused to communicate with the bank. The matter was then seemingly resolved in court, literally a week before Cotten’s death, where the court ordered the funds to be immediately released to Jose Reyes and the Quadriga account unfrozen. Quadriga then stated that all pending customer withdrawals will be fulfilled by the end of the week, but that did not happen."
  • imgur (12 February 2019): Quadriga's Whiteside Investors
  • Telegram (16 February 2019): Quadriga's former users begin compiling a list of bank accounts and entities from which people received fiat when withdrawing from Quadriga: FINConnect; POSConnect; Billerfy; VoPay; Costodian Inc.; WB21; 1009926 B.C. Ltd.; 700964 N.B. Inc.; TT SHENZHEN OTE; TT BORUIDA TRAD; TT SHUYA TRADE; TT QIANTOP TRAD; TT GUANGYE TRAD; TT HONGKONG RUI (for more, see an ongoing list here)


The Orphanage
  • There are several reports on problems in orphanages in India, which sometimes serve as fronts for human trafficking: here, here, here
  • Reddit (24 January 2019): Michael Patryn states on Reddit that he plans to visit the orphanage in Venkatapuram
  • Chronicle Herald (4 February 2019): Case in Halifax court today, bitcoin worth about $190 million missing after CEO’s death: "'A visionary leader who transformed the lives of those around him, Gerry died due to complications with Crohn’s disease on December 9, 2018, while travelling in India, where he was opening an orphanage to provide a home and safe refuge for children in need,' the company said in a post on its website and Facebook."
  • Coinspice (4 February 2019): DEEP DIVE VIDEO: The Truth About QuadrigaCX, Millions Lost, Paper Trail Gets Weird: "Looking to the website of the organisation Angel House, they are indeed a legitimate operation that has a number of options for people to sponsor homes for children. On their social media, the image posted to reddit could not be found. But there were plenty of images posted over the recent months which showed other sponsored houses that had identical signage. It appears Gerald Cotten had sponsored a 12 child home, with his wife Jennifer Robertson, valued at just over 21 thousand dollars. It is unclear why the he sponsored this home, given that he did not have a history of being philanthropic and also the fact that we’re in Bitcoin’s longest bear market to date. A bear market which has seen many successful crypto businesses struggle to sustain their operations with the current market price, leading to mass layoffs and reductions in spending. There is also no explanation for why he himself travelled to India to assist with the opening of the orphanage, as the website clearly states that locals will build the house, furnish it and then operate it. CEO’s of these large crypto businesses don’t have the time travel around and do charity like this, particular when there is such ongoing turmoil with the business they operate."


Information on CEO, Gerald Cotten

Image Source: Telegram.

  • Globe and Mail (8 February 2019): "Quadriga was the brainchild of Gerald Cotten, a boyish-looking entrepreneur with a shock of sandy hair and an easy smile. He grew up in Belleville, Ont., and earned a bachelor of business administration from the Schulich School of Business at Toronto’s York University in 2010. He was drawn to intellectual, if nerdy, interests. An avid player of Settlers of Catan, a strategy board game, he regularly met up with a group for sessions at a friend’s home. ... People who ran into him described him as friendly and charismatic, quick to lend a few bucks to a friend in need. ... He spent time in Vancouver, too, and became a director of the Bitcoin Co-Op, an organization that promoted the use of cryptocurrency. Michael Yeung, another director, recalled Mr. Cotten as neither a naive idealist about bitcoin nor someone out to make a quick buck. 'My sense is he was a bit of both – and he was in it for the long haul,' Mr. Yeung said. Andrew Wagner, also a director at the co-op, described him as 'very friendly, very smiley.' He was, however, a private individual who kept his circle of friends small."
  • DreShare (2018): States that Cotten was born in Toronto, Ontario, Canada in 1988; he attended high school in Toronto. The site gives personal details like his height (5'9"), weight, shoe size, and bicep measurements (!); also favourite food etc. He was CEO of Quadriga Fintech Solutions Corp. and Whitehead, was an advisor at the Crypto Consortium, and was a member of the Bitcoin Foundation. He created the C4 certification. He has a mother, father, brother and sister. He graduated from York University in Toronto, where he received a Bachelor's degree in Business Management from the Schulich School of Business. His office address is given as 346-2882 Steeles Avenue, North York, Ontario M3H 0A1 Canada. His personal worth is stated as $80 million with access to $130 million in bitcoin.

Photo of Cotten with his wife, Jennifer Robertson, in India just prior to his death, possibly late November, 2018. Image Source: Twitter / Telegram.


The Hospital
  • Times of India (19 February 2018): Fortis, Religare face serious fraud probe; Sebi orders inquiry
  • NewsBTC (6 February 2019): CEO Who Held $150M in Crypto Died in a Region Known for Having a Fake Death Mafia


Death of CEO, Gerald Cotten

Source: Facebook.

Indian death certificate of Quadriga CEO, Gerald Cotten, with his surname misspelled. Image Source: Reddit.


  • Nova Scotia Royal Gazette, vol. 228, no. 2, part 1 (9 January 2019): ESTATE NOTICES BEING PUBLISHED FOR THE FIRST TIME; Estate of COTTEN, Gerald William, Fall River, Halifax Regional Municipality, January 2, 2019; Cotten's personal representative Jennifer Kathleen Margaret Robertson, 71 Kinross Court Fall River NS B2T 0E4; solicitor for the personal representative: Richard Niedermayer and Stewart McKelvey, 900-1959 Upper Water Street, PO Box 997, Halifax NS B3J 2X2, January 9, 2019 (6m)
  • Reddit (15 January 2019): Statement from Jennifer Robertson, wife and partner of Gerald Cotten, on behalf of QuadrigaCX: "Please see our statement regarding the sudden passing of our @QuadrigaCoinEx founder and CEO, Gerry Cotten. A visionary leader who transformed the lives of those around him, he will be greatly missed."
  • British Columbia Supreme Court (22 January 2019-23 January 2019): Cotten, Gerald v Quadriga Fintech Solutions Corp.; Supreme File VLC-S-S-190709
  • Financial Post (6 February 2019): Founder of cryptocurrency exchange Quadriga filed a will 12 days before his sudden death. The will listed substantial assets, with everything going to his wife
  • Globe and Mail (8 February 2019): "Asked about Mr. Cotten this week, a spokesperson for the hospital said 'the patient' was brought to the facility in critical condition the night of Dec. 8. He was suffering from septic shock, perforation peritonitis and intestinal obstruction. The following day, he suffered cardiac arrest, but was revived. His condition worsened, and he went into cardiac arrest a second time the following day. At 7:26 p.m., he was declared dead."
  • Globe and Mail (15 February 2019): How did Gerald Cotten die? A Quadriga mystery, from India to Canada and back (archived here); the doctor who treated him was Jayant Sharma; some Quadriga users searched for the doctor here



Court Proceedings, Official Investigations, Regulatory Bodies


  • Document dump on Google Drive
  • InfoDog: Information on Dr. Michael J. Woods, judge presiding over Quadriga CCAA case (a past case)
  • Ernst and Young third party observer public documents
  • Government of Canada (5 February 2019): CCAA Records list includes Ernst and Young re. Quadriga case
  • Reddit (5 February 2019): Message from Ernst and Young, court-appointed monitor to Quadriga's users on Reddit
  • Globe and Mail (8 February 2019): "Ernst & Young, Quadriga’s monitor, estimates at least $180-million in cryptocurrency is locked away somewhere. ... Some of the details in court filings suggest tracing the funds and returning it to users will be a long, difficult process. Court documents say an 'organization' identified as WB21, which acted like a payment processor, is holding millions of dollars belonging to Quadriga and had refused to release the funds or even respond to communications from the company. There’s also a photo submitted in the court record of an unspecified number of bank drafts held by Mr. Matthews in his role as owner of 700964 NB. Five piles of bank drafts are stacked on top of a stove, illuminated by a candle. A lawyer for Quadriga said in court the bank drafts are no longer on the stove."


  • Reuters (8 February 2019): Ontario securities regulator looking into digital platform Quadriga: "Canada’s biggest securities regulator said on Friday [8 February 2019] that it was looking into Quadriga CX, as concerns grow that a regulatory gap leaves investors in the digital platform unprotected against potential losses. ... 'Given the potential harm to Ontario investors, we are looking into this matter and have already been in contact with the monitor,' the Ontario Securities Commission said in a statement emailed to Reuters. OSC spokeswoman Kristen Rose declined to say if it was an investigation. The Quadriga CX situation highlights a regulatory vacuum for the cryptocurrency industry in Canada and raises questions about who would be held accountable for any potential losses. The OSC could review the matter to see if Quadriga has breached any securities laws, said Allan Goodman, co-chair of the technology group at law firm Goodmans LLP. 'For example, should (Quadriga) have been registered as an exchange and were any securities laws breached with respect to the trading of the coins on the exchange?' ... Goodman said in the event of securities law violations, the OSC could bring an enforcement action against the company or its officers and directors. 'If ultimately successful, one would suppose any monetary recovery could be used to address possible losses for customers,' he said."
  • CCN (10 February 2019): Canada’s Regulators Might Help Crypto Exchange QuadrigaCX’s Victims After All
  • Supreme Court of Nova Scotia (12 February 2019): First Report of the Monitor: "On February 6, 2019, Quadriga inadvertently transferred 103 bitcoins valued at approximately $468,675 to Quadriga cold wallets which the Company is currently unable to access. The Monitor is working with Management to retrieve this cryptocurrency from the various cold wallets, if possible." This outcome earned Ernst and Young the name, "moronitor" on Reddit.
  • Reddit (13 February 2019): So the Monitor also scammed us...
  • National Post (14 February 2019): 'We don't have anything': Lawyers say Vancouver cryptocurrency exchange QuadrigaCX is out of money
  • CBC (14 February 2019): Lawyers vie to represent creditors in QuadrigaCX debacle: lawyers debate whether online chatrooms are relevant in this case
  • Change.org (18 February 2019): Mitch Airey launched a petition and began organizing a protest at the Nova Scotia court scheduled for 5 March 2019: Do not grant QuadrigaCX an extension on their CCAA protection, and pursue criminal charges; the petition reads:
"On February 5, 2019, Justice Michael Wood granted QuadrigaCX a 30 day stay on legal proceedings. This is a judge who didn't understand what Reddit was, let alone the blockchain. Yet, still, he determined this was within his jurisdiction, despite QuadrigaCX and associated companies being largely registered in BC.

On March 5, 2019, he may decide to grant Quadriga an extension on their CCAA protection.

Despite Jennifer Robertson claiming in her sworn-affidavit that she had no involvement in Gerry's companies, she was actually quite involved. In fact, numerous QuadrigaCX creditors have records of Qcx withdrawals coming from two bank accounts of Jen's known-aliases: Jennifer Forgeron, and Jennifer Robertson. There was also bank transfers from Jennifer's company, RNC inc, which seemingly only existed to pay Quadriga clients. (https://bitcoinmagazine.com/articles/quadrigacx-sent-deposits-allegedly-linked-to-ceos-widow-mailed-withdrawals-in-cash/)

What's more, is that there is a j.robertson@quadrigacx.com email address, and users have also reported having spoken to customer support under the name 'Jen'.

Blockchain analysis has shown, strongly, that QuadrigaCX was involved in high-tiers of criminal activity with large & dangerous criminal enterprises. Tens of thousands of bitcoins worth many millions of USD were filtered through QuadrigaCX on behalf of organized crime, including darknet markets which sell child pornography.

This is not a CCAA case. There are no funds to pay back creditors. The lawyers from every side are chomping at the bit for their payout, not yours. They won't be getting 1 cent to the dollar for their fees like you (may) get from any sort of 'payout'. The Canadian government must, for the sake of justice, act immediately. This entire process seems to have been a stall tactic to allow Jennifer to hide most of her (seemingly, ill-gotten) assets. She's signed at least two of them into a trust (The Seaglass Trust), of which she is a trustee.

We request that Justice Michael Wood does NOT grant QuadrigaCX one more day of CCAA protection. We further suggest the Canadian Government and intelligence body (CSIS) launch a criminal investigation into QuadrigaCX using blockchain analysis and other tools.

On March 5, 2019 Canadian crypto holders & enthusiasts from across Canada will stand outside of the Halifax, N.S. courtroom where QuadrigaCX's case is being heard. We will be there to show that this goes beyond the memetic rhetoric we've seen on Twitter and Reddit. Similarly, we will try and organize with other cities so that they, too, can have a demonstration on that day.

RSVP to the Halifax event here: https://www.facebook.com/events/301326423918679/"
  • Supreme Court of Nova Scotia (19 February 2019): Honourable Justice Michael J. Wood appoints the law firm Miller Thomson and Cox & Palmer to represent Quadriga's former clients and customers, legally denoted as creditors
  • Miller Thomson LLP (19 February 2019): Dedicated page regarding legal representation of Quadriga's clients
  • Supreme Court of Nova Scotia (20 February 2019): Second Report of the Monitor
  • Globe and Mail (22 February 2019): Canada’s big banks express concern about cryptocurrency assets at Quadriga court hearing
  • CBC (22 February 2019): QuadrigaCX case: Canada's big banks wary of cryptocurrency asset: Royal Bank of Canada reluctant to accept Quadriga CIBC $25.7 million bank draft plus an additional $5 million, to be deposited into an RBC account from which the monitor can pay for "court proceedings"; no mention of this amount being used to pay Quadriga's creditors


Lawyers for QuadrigaCX's Clients and Legalese
  • Government of Canada: The Companies' Creditors Arrangement Act
  • PwC Canada: CCAA Explainer
  • Reddit (1 February 2019): CCAA Explainer
  • Reddit (5 February 2019): Evan Thomas at Osler, Hoskin and Harcourt LLP
  • Reddit (5 February 2019): Asim Iqbal at Miller Thomson LLP
  • Coinslice (5 February 2019): Court Grants QuadrigaCX Bankruptcy Protection: "In court today, the lawyers for QuadrigaCX said they are considering selling the exchange to pay off funds that are owed. Maurice Chiasson, a lawyer representing QuadrigaCX, has said that, currently, there are several payment processors that hold funds from the exchange. A number of affected users have retained lawyers and formed class actions to seek restitution. Attorneys for the applicants now have five days to serve the 115,000 customers owed funds with notice of the order."
  • Coindesk (6 February 2019): QuadrigaCX Explainer: "There will be a separate hearing to determine which law firm will be appointed as representative counsel on Feb. 14, though no lawsuit can be filed while the stay is in effect. A request for clarification to Bennett Jones LLP, one law firm vying to be appointed, was not returned by press time."
  • Yahoo! Finance (6 February 2019): Thousands of crypto investors may never see their money again after exchange founder's death: "QuadrigaCX is safe from creditor lawsuits for 30 days [from 5 February 2019] while it tries to crack the code and come up with clients’ funds. Ernst and Young has been appointed to help manage the company’s finances during the process. ... A motion for the appointment of representative counsel for the affected users of QuadrigaCX will be heard in the Supreme Court of Nova Scotia at 9:30 on Thursday, February 14[, 2019]."
  • Yahoo! Finance (8 February 2019): A Fight Is Brewing Among QuadrigaCX Crypto Exchange’s Creditors: "Creditors of the failed cryptocurrency exchange QuadrigaCX are bracing for a fight among themselves. Customers who had fiat currency balances at the exchange before it went offline and sought protection from creditors in a Canadian court last week are beginning to argue they should be paid back first from recovered assets. But they expect customers who stored crypto at QuadrigaCX to push back on such demands. And even some fiat holders say such prioritization would be unfair. ... So far, [QuadrigaCX customer Xitong] Zou has filed an affidavit with the Nova Scotia Supreme Court, calling for one law firm Bennett Jones to be appointed as representative counsel for a possible class action. Other customers have reached out to different firms, including Miller Thomson, Osler, H[os]kin and Harcourt and Gowling ... as possible counsel. The court has not yet designated any particular firm as representative counsel, but a hearing will be held on Feb. 14 to discuss the issue. Christine Duhaime, a financial crimes lawyer and a partner with Duhaime Law, told CoinDesk that the firm that does get appointed as representative counsel would conduct preparatory work on building a case against Quadriga, though no lawsuit can be filed during the stay of proceedings. The firm would also be paid to find the different affected parties, alongside address information for these individuals. She further told CoinDesk that she believes there should be two different counsels appointed one focused on contacting customers and communicating with court-appointed monitor Ernst and Young, and one focused on the litigation itself. As of Feb. 5, Bennett Jones had petitioned to be appointed representative counsel alongside McInnes Cooper, another firm which 'has significant experience in complex CCAA matters,' according to an affidavit filed by Zou. Still, there remains the question of what customers will actually receive."
  • Telegram (8 February 2019): Message circulated on Telegram to Quadriga users from Osler, Hoskin and Harcourt LLP:
"OSLER LAW FIRM SUMMARY

We are providing a brief summary for your information.

The court granted an 'initial order' under the CCAA, which puts QuadrigaCX under court protection for 30 days.

This includes a 'stay' of lawsuits against the company – while the stay is in place, no one can sue the company.

The court also appointed a 'Monitor' to oversee the restructuring effort.

A Monitor is an officer of the court and acts as the 'eyes and ears of the court'.

The Monitor is Ernst and Young. The Monitor’s web site is at http://ey.com/ca/quadriga

QuadrigaCX and the Monitor will be trying to locate any additional funds or cryptocurrency held for QuadrigaCX.

The Monitor will set up a bank account to collect and preserve bank drafts and any other money held by QuadrigaCX’s payment processors or service providers.

The Monitor has set up cold wallets to secure any cryptocurrency that is located.

The stay will expire on March 7, 2019, but the company return to court on March 5 to extend the stay.

The Monitor will provide a First Report on March 1, 2019. This report will explain what the Monitor has done since today and what it has found out.

The court has ordered that creditors of QuadrigaCX be notified of the initial order by various means, including:

A notice in the Globe & Mail newspaper

Posting a notice on QuadrigaCX’s web site

Posting a notice on the /r/quadrigacx subreddit

Sending a copy to every known creditor with a claim over $10,000

The Monitor will be preparing a list of creditors.

Another law firm asked the court today to hear a motion to appoint it as representative counsel for QuadrigaCX customers. The court was not prepared to decide whether to appoint representative counsel right away. QuadrigaCX and the Monitor informed the court that other groups of creditors and law firms would ask the court to appoint them as representatives and representative counsel.

The motion to appoint representative counsel is conditionally scheduled for Thursday, February 14, 2019.

We have advised QuadrigaCX and the Monitor that we have the support of many QuadrigaCX customers for us to become representative counsel. We know there are other groups and law firms asking for your support. We appreciate confirmations of support, so that we can add your support to that we’ve received from customers with total claims valued at over $10 million.

Beyond the numbers, however, we have received support from individuals and companies with exceptional technical expertise, detailed understanding of cryptocurrency markets, and deep roots and connections within the community. We expect these resources will be invaluable to advancing customers’ interests during the process that lies ahead, and we have told the Monitor and QuadrigaCX as much.

If you have already told us you support our appointment, thank you. If you are still considering, please do not hesitate to contact us with any questions. If you have decided to support another group/law firm, we respect your decision, though you are free to change your mind.

We know this has been a difficult time for everyone affected by QuadrigaCX’s insolvency. We hope we have the privilege of representing the interests of you and other QuadrigaCX customers as the process moves forward.

Thank you for your support.

Evan Thomas

416.862.4907 | EThomas@osler.com
Osler, Hoskin and Harcourt LLP | [www.osler.com]osler.com"

  • Bloomberg (12 February 2019): Quadriga Fuels Race Among Lawyers For Slice of Lost Millions
  • Global News (14 February 2019): Many questions, few answers for clients of QuadrigaCX after lawyers confer
  • Supreme Court of Nova Scotia (19 February 2019): Honourable Justice Michael J. Wood appoints the law firm Miller Thomson and Cox & Palmer to represent Quadriga's former clients and customers, legally denoted as creditors
  • Miller Thomson LLP (19 February 2019): Dedicated page regarding legal representation of Quadriga's clients


Contacts - Lawyers and Authorities

From Telegram Group, Quadriga Monitor (10 February 2019):

1. Authorities
1.1. Canadian Anti-Fraud Centre (http://www.antifraudcentre-centreantifraude.ca/index-eng.htm) (1-888-495-8501 (http://www.antifraudcentre-centreantifraude.ca/reportincident-signalerincident/index-eng.htm))

1.2. Royal Canadian Mounted Police - Toronto West (http://www.rcmp-grc.gc.ca/detach/en/d/619#Toronto%20West%20(Milton)) (905-876-9500 (http://www.rcmp-grc.gc.ca/detach/en/d/619#Toronto%20West%20(Milton)))

1.3. Ontario Securities Commission
(https://www.osc.gov.on.ca/)1.3.1. inquiries@osc.gov.on.ca
1.3.2. 1-877-785-1555
1.3.3. Online Form
(https://eforms1.osc.gov.on.ca/e-filings/contact-us/form.do?token=20085777-2696-4e8f-82e4-1552f814d27c)

1.4. Nova Scotia Securities Commission (https://nssc.novascotia.ca/)
1.4.1. NSSCEnforcement@novascotia.ca
1.4.2. Online Form
(https://nssc.novascotia.ca/report-scam-nssc)

2. Law Firms
2.1. Bennett Jones (https://www.bennettjones.com/) & McInnes Cooper
(https://www.mcinnescooper.com/#)2.1.1. Raj Sahni (https://www.bennettjones.com/SahniRaj) (sahnir@bennettjones.com)
2.1.2. Jim Patterson (https://www.bennettjones.com/PattersonJim) (pattersonJ@bennettjones.com)
2.1.3. Danish Afroz (https://www.bennettjones.com/AfrozDanish)(afrozD@bennettjones.com)
2.1.4. Ben Durnford (https://www.mcinnescooper.com/people/benjamin-durnford/) (ben.durnford@mcinnescooper.com)
2.1.5. John Stringer (https://www.mcinnescooper.com/people/john-stringer/) (john.stringer@mcinnescooper.com)


2.2. Miller Thomson (https://www.millerthomson.com/en/) & Cox & Palmer
(https://coxandpalmerlaw.com/)
2.2.1. Asim Iqbal (https://www.millerthomson.com/en/our-people/asim-iqbal/) (aiqbal@millerthomson.com)
2.2.2. Gavin MacDonald (https://coxandpalmerlaw.com/people/gavin-d-f-macdonald/) (gmacdonald@coxandpalmer.com)


2.3. Osler, Hoskin & Harcourt (https://www.osler.com/en/home) & Patterson Law
(http://pattersonlaw.ca/)2.3.1. Marc Wasserman (https://www.osler.com/en/team/marc-wasserman) (rnr.vasserman@osler.com)
2.3.2. Jeremy Dacks (https://www.osler.com/en/team/jeremy-dacks) (jdacks@osler.com)
2.3.3. Evan Thomas (https://www.osler.com/en/team/evan-thomas) (ethomas@osler.com)
2.3.4. Robert Purdy (http://pattersonlaw.ca/People/Lawyers/RobertMPurdyQC/tabid/157/Default.aspx) (rpurdy@pattersonlaw.ca)
2.3.5. Michael Scott (http://pattersonlaw.ca/People/Lawyers/MichaelPScott/tabid/159/Default.aspx) (mscott@pattersonlaw.ca)


3. Monitor (Ernst & Young Inc. (https://www.ey.com/en_gl))
3.1. George Kingsman (george.c.kinsman@ca.ey.com)

Jennifer Robertson, Cotten's Spouse

Cotten's spouse is the target of rumours and accusations. Image Source: Best Coin Investments.

Jennifer Robertson was the primary heir of Gerald Cotten's estate. Ms. Robertson was targeted on Reddit by a few posters (who may be the same person or people) who claimed she murdered her husband or poisoned him while he was in India. They made other slanderous allegations about her relationship with her step-father, who has been appointed as one of the new directors of Quadriga (for example: here, here, here, here, here, here). Redditors in general were not impressed by this. But they were curious about the fact that Ms. Robertson has changed her name several times (her full name is Jennifer Kathleen Margaret Forgeron-Griffith-Robertson-Cotten) and they wondered about the Seaglass Trust, where she was supposedly socking away stolen Quadriga monies beyond the reach of creditors and the law, mainly through property investments.
  • Nova Scotia Royal Gazette, vol. 226, no. 14 (5 April 2017): Jennifer Griffith, born 1988 in Halifax, Nova Scotia, changed her name to Jennifer Robertson: "April 5-2017 – 0910. This is to Certify that on December 1, 2016 at 8:47 in the forenoon change(s) was/were made under the provisions of The Change of Name Act for the following individual(s): From: JENNIFER KATHLEEN MARGARET GRIFFITH To: JENNIFER KATHLEEN MARGARET ROBERTSON Year of Birth: 1988, born: HALIFAX, NOVA SCOTIA"
  • Sunnybrook Yachts and Webcached version of site, archived here (December 2018): Robertson lists her husband's 51 foot yacht for sale
  • Reddit (15 January 2019): Complaint from Redditor: "[P]lease explain why I cannot find anything on Aaron Mathews or Jennifer Robertson on the internet except linking to Quadriga's announcement and Reddit posts? Even Gerald is virtually non-existent on the internet with the exception of interviews and articles quoting his name. Surely there must be some digital footprint of any of these 3 people. Especially if 2 of them are married. ... Further to last point, can you please provide proof that Aaron Mathews and Jennifer Robertson are real people and real names? I would expect some sort of social media presence whether it be on LinkedIn, Facebook, a blog post, anything. There is no record of their existence online which is really hard to achieve nowadays. Believe me, I've tried. A link to a social media account would be a good start, but how about posting some real proof. It's entirely feasible that the names are real, and maybe it's just me being paranoid, but the names Jennifer Robertson, Aaron Mathews and even Gerald Cotton sound like aliases. Almost like John Smith."
  • Chronicle Herald (4 February 2019): Case in Halifax court today, bitcoin worth about $190 million missing after CEO’s death: "Cotten’s widow Jennifer Robertson said she was not involved in the business while he was alive"
  • CBC (8 February 2019): QuadrigaCX founder's widow owns $7.5M in Nova Scotia real estate: "Government records ... reveal that Robertson has used three family names. Deeds for properties she bought in 2016 show she was once known as Jennifer Forgeron. On Dec. 1, 2016, Nova Scotia's Royal Gazette announced she was changing her name from Jennifer Kathleen Margaret Griffith to her current name, Jennifer Kathleen Margaret Robertson." [The date of application was in 2016; the Royal Gazette report of Griffith's name change was Wednesday, 5 April 2017.]
  • Chronicle Herald (5 February 2019): Quadriga founder's widow moved 4 Nova Scotia properties further from creditors' reach
  • CBC (7 and 8 of February 2019): Quadriga CEO, whose death ignited a cryptocurrency storm, a kind man with taste for fine things, say friends: "In his will, Cotten bequeathed 'any interest I may own' in the company to his 'spouse's mother Carol Terry, and her spouse, Thomas Beazley. ... 'A previous version of this story said Cotten's will divided $9.6 million in properties and possessions between his wife, Jennifer Robertson, and other family members. In fact, the will names Robertson as the sole beneficiary, and the $9.6 million would be divided among other family members only in the event of her death. Feb 08, 2019 10:29 AM PT"
  • Blockpublisher (9 February 2019): Unraveling the Curious Case of Quadriga CX: "Within January, Robertson took out collateral mortgages on four of their properties worth a combined 1.1 million in U.S dollars in Nova Scotia in favor of a trust and finally transferred the ownership of two to a trust. Braxter, partner at McInnes Cooper in Halifax claims that transferring properties to a trust basically nullifies collateral mortgages."
  • Reddit (10 February 2019): "In his will, Cotten bequeathed 'any interest I may own' in the company to his 'spouse's mother Carol Terry, and her spouse, Thomas Beazley.'" This information repeats the CBC report of 7-8 February 2019.
  • Reddit (13 February 2019): Redditors linked Jennifer Robertson to Nova Robertson or Robertson Nova Consulting Inc.; they began searching their Quadriga withdrawals to see if they received withdrawals via payouts from this company, belying Robertson's claim that she had anything to do with Quadriga's workings; they confirmed that they did receive Quadriga withdrawals via this company in December 2016 and February and March 2017
  • Reddit (13 February 2019): Redditors began investigating companies through which Quadriga processed their fiat withdrawals, and concluded that Jennifer Robertson ran a company (Robertson Nova Consulting Inc.) through which withdrawals were processed
  • Bitcoin Magazine (15 February 2019): QuadrigaCX CEO Widow Sells Estate Assets, Reportedly Places Others in Trust: "Another dozen properties in Halifax valued at roughly $6 million CAD are reportedly under the management of Robertson’s real estate company, Robertson Nova Property Management Inc., according to the Chronicle Herald. Robertson is listed as the company’s director, president/secretary and recognized agent, according to Nova Scotia public records, with the couple’s former Kinross residence listed as its office. In his will, Cotten dictated that his shares in the company are to be jointly shared between Robertson’s mother Carol Terry and her spouse Thomas Beazley. As reported by Bitcoin Magazine, QuadrigaCX customers report receiving funds from Robertson Nova Property Management Inc. (showing up as RNC Inc., a.k.a., Robertson Nova Property Management Inc., on their bank statements). The deposit confirmation emails for these payments include reply-to lines with one of two emails believed to belong to Jennifer Robertson. If Robertson was involved with the company’s operations, that would contradict her sworn affidavit that she was not implicated in its dealings during Cotten’s life."

"The recently sold home of Gerald Cotten's widow, Jennifer Robertson, in Fall River, N.S. on Feb. 6, 2019." Image Source: Darren Calabrese / Globe and Mail.

Cotten's airplane (or a plane of the same type), inherited by Jennifer Robertson. Cotten had a pilot's license. Image Source: Globe and Mail. (Hat tip: Amy Castor).





Paid a visit to Gerald Cotten's home in Kelowna (8 February 2019). Video Source: Youtube.

"Private island retreat, right next door to the famous Oak Island is 'Little Island', which is a small island with a newly built house, owned by the infamous QuadrigaCX exchange owners. ... Maybe should be called 'Private Keys'": Millionaires Little Island, Mahone Bay, Nova Scotia II (22 February 2019). Video Source: Youtube.

  • Reddit (22 February 2019): Millionaires Little Island, new house built, Nova Scotia (Jennifer's): "Last weekend I noticed a nice new house and dock has been built on Jennifer's 'Little Island' in Mahone Bay, Nova Scotia. On the google map, the island looks empty - not sure when that was taken. ViewPoint shows it was split into 2 parcels on Jan 25, 2019."


Other Quadriga People: Michael Patryn

"Michael Patryn, pictured with a tiger on a trip in Thailand, describes Cotten as 'a ray of sunshine,' and said he was shocked to learn that his former business partner had died in India in December." Image Source: Michael Patryn/Facebook via CBC.

Reddit map of Patryn's background and connections. Click to enlarge. Image Source: Reddit.
  • Facebook: Michael Patryn
  • Intelius (accessed February 2019): California-based Omar R. Dhanani age 35, relatives: Nazmin Dhanani and Nabatbibi Dhanani
  • US Government Department of Justice (17 November 2005): Six Defendants Plead Guilty in Internet Identity Theft and Credit Card Fraud Conspiracy. Shadowcrew Organization Was Called 'One-Stop Online Marketplace For Identity Theft'
  • Government of Canada Federal Corporate Information (22 October 2009): Founding of Patryn's company MPD Advertising Inc. with Nazmin Dhanani
  • Government of Canada Federal Corporation Information (20 December 2009): Founding of Omar Patryn's company Midas Gold Exchange Inc.
  • British Columbia Provincial Small Claims Court (6 March 2013-13 March 2014): Patryn, Michael v Tulloch, Tyrone; Provincial File ROB-P-C-1343255
  • British Columbia Supreme Court (22 March 2013-26 April 2016): Patryn, Michael / Kansy, Neal v Tulloch, Tyrone; Supreme File VLC-S-M-131900
  • Coinforum, Canada's Bitcoin Community (from 2014): Patryn's comments on Coinforum; including this one: "Quadriga was the first bitcoin exchange in Canada to receive an MSB from Fintrac. It is also a public company which has undergone numerous financial audits. Quadriga was also the first bitcoin exchange in Canada to have all client bitcoins held in cold storage insured by Lloyd's of London. Due diligence was performed on the company prior to a seven figure investment round by Haywood, Mackie Research, Canaccord, and Wolverton. Since you want to be combative, where are your audits, and where's your insurance? Which banks conducted DD on your company and decided to invest seven figures at a $10M valuation?"
  • Youtube (12 March 2015): Salon Talks: QuadrigaCX to be the first Bitcoin Exchange to IPO: Michael Patryn, co-founder of Quadriga, introduces himself
  • Money 20/20 Europe (26-28 June 2017): Patryn attends the conference as a speaker on cross-border payments
  • Angel (2018?): Lists Michael Patryn as Quadriga director and advisor
  • British Columbia Supreme Court (30 June 2016-12 September 2016): Patryn, Michael v Lawrence, Robert; Supreme File VLC-S-M-165036
  • Pastebin (2 March 2018): Background on Michael Patryn aka Omar Dhanani aka Omar Patryn, his criminal background, links
  • Reddit (4 February 2019): Further Proof that Michael Patryn = Omar (Patryn) Dhanani - A Serial Scam Artist and Founder of QCX
  • FXStreet (4 February 2019): The QuadrigaCX story takes another strange twist: "Stranger still, many people are pointing out that QuadrigaCX’s co-founder Michael Patryn, has been a using a fake name. His real name is Omar Dhanani who was convicted of fraud in the United States and was released in 2007. The fraud was for operating an online marketplace for identity theft. He was also arrested in Canada for laundering money for the fraudulent payment processor, Liberty Reserve."
  • Globe and Mail (8 February 2019): "There is, in fact, an Omar Dhanani who spent 18 months in a federal prison in the United States. In 2004, prosecutors from the United States Attorney’s office for the District of New Jersey charged Mr. Dhanani, who was living in California at the time, for his role in an online identity theft ring known as the Shadowcrew, U.S. court records show. Mr. Dhanani, who also used the name Omar Patryn, took a deal and pleaded guilty in 2005 to one count of conspiracy to transfer identification documents. Mr. Dhanani, who was born in 1983, was released in 2007. By 2009, according to a court document, he had been deported to Canada."
  • Globe and Mail (8 February 2019): "By February, 2016, Quadriga gave up on its plans to list and severed its relationship with Mr. Patryn, he said in court documents, owing to his perceived association with Mr. Lawrence. 'News of his termination from QCX has materially and negatively affected his ability to secure similar work in the financial technology industry.' ... 'We were, at that time, a leader in many ways and operated responsibly and with a level of transparency that is unheard of even today. ... I left the company over three years ago over a fundamental disagreement with Gerry regarding his decision to halt the listing process.' The relationship was strained, but they remained friends, he said. Mr. Patryn added he hasn’t had any involvement in Quadriga’s management or operations since then. This past October, however, The Globe [and Mail] received an e-mail pitch from an 'executive concierge' company called the Windsor Group offering up Mr. Patryn for interviews to discuss virtual currencies and describing him as a Quadriga director. Mr. Patryn said he doesn’t know what the Windsor Group is, nor has he authorized anyone to pitch him as a Quadriga director, as he never served on the board."
  • Globe and Mail (8 February 2019): "Shortly after Quadriga pulled the plug on the listing in early 2016, its chief financial officer resigned, along with two board members, leaving just Mr. Cotten to steer the company. (The British Columbia Securities Commission also issued a cease trade order on the private company.) Mr. Patryn remains a shareholder, with a 17.4-per-cent stake through a company called Crypto Consulting Group, registered in Hong Kong. His partner, Lovie Horner, owns another 10.3 per cent. Ms. Horner works as a designer for a dog apparel company, according to her LinkedIn profile, which is no longer online. Mr. Cotten owned the largest chunk at 41.2 per cent."
  • Globe and Mail (8 February 2019): "Mr. Patryn now runs a company called Fintech Ventures Group, which calls itself Canada’s first incubator for blockchain startups. Searching for the name Michael Patryn turns up a few articles that talk up his business expertise and physical prowess. An article on a website called Young Upstarts calls him a 'go-to spokesperson on fintech' and says he did a stint as an MMA fighter. His own website says he’s also a personal trainer who teaches Thai kickboxing and blade combat. His website also says he graduated with a master’s degree in social psychology from the University of California, Santa Barbara. (A spokesperson from the school says the 'registrar’s office has no record of a student with that name, 'nor has such a program ever existed.') ... Last year, Mr. Patryn hired a Toronto-based company called Reputation.ca Ltd. to 'remove negative content referencing him on a 'particular website,' according to a lawsuit he filed against the firm in Toronto small claims court in November. Reputation.ca offers services to bury unflattering search results while creating and promoting positive material. Mr. Patryn agreed to pay $3,500 per month in July, 2018, for the company’s personal suppression, guaranteed removal and reputation maintenance service, according to court documents. He told Reputation.ca his problem was a post on a website called Complaints Board, which is no longer online. Reputation.ca also pointed out to Mr. Patryn posts on Reddit from users claiming that a Mr. Patryn, co-founder of Quadriga, is a 'fraudster' named Omar Dhanani. The two parties got into a dispute about costs, and Mr. Patryn sued, claiming Reputation.ca did not remove content within the promised timeline. He is seeking the return of $10,500 and said he is 'suffering continued reputation harm.' ... Mr. Patryn disputed the allegations in a December court filing, denying 'each and every allegation' contained in Reputation.ca’s claim. In an e-mail to The Globe this week, Mr. Patryn said he is not Mr. Dhanani. The court file includes a letter, dated Jan. 25, from Mr. Patryn’s lawyer, Samuel Osei, requesting that the names Omar Patryn and Omar Dhanani be struck from the court file. 'Your unnecessary inclusion of those names in the pleadings as aliases is not only incorrect, but is also inflammatory of our client,' Mr. Osei writes."


  • CBC (7 and 8 of February 2019): Quadriga CEO, whose death ignited a cryptocurrency storm, a kind man with taste for fine things, say friends: "Michael Patryn said he funded the venture and was a Quadriga adviser until 2016. Patryn — who said he was speaking from Thailand and heading to Hong Kong — said at first he didn't believe word of Cotten's death. 'He was like a ray of sunshine,' said Patryn, who first met Cotten online over five years ago. 'The guy just always had a big goofy smile and laugh. He used to crack jokes all the time. He used to say he didn't open up to many people, but he was able to open up to me, and he was like a little brother to me.' He said they eventually moved to Vancouver and created Quadriga. They worked together until a fight split them in 2016, said Patryn. Associates say the pair were an odd match. They describe Patryn as a 'mysterious' and dynamic character, and a tougher business mind. Some have also suggested that Patryn isn't his real name. Patryn told CBC he's aware of the social media posts suggesting he's actually Omar Dhanani, who pleaded guilty to conspiracy to commit fraud in 2005 in a New Jersey court. Patryn says any suggestion that he's actually Dhanani is wrong. He believes the confusion relates to an alias Dhanani used — Omar Patryn — and it's just a coincidence. CBC inquired with U.S. prosecutors and Canadian police to verify whether the two men are the same, but all authorities declined comment. Patryn says he had lost touch with Cotten but felt compelled to reach out to Cotten's widow, who he and others said is 'spooked by death threats' from angry clients who are short cash. 'Gerry was passionate about the digital currency space for as long as the space has existed. It's extremely unfortunate. I hope we are able to retrieve the cold storage coins and fix what's happened to his reputation,' said Patryn."
  • Reddit (10 February 2019): After initially talking to Redditors, Michael Patryn stopped posting on Reddit on 3 February 2019
  • Reddit (11 February 2019): Criminal Case Against Quadrigacx: A path forward: "Previous convictions or regulatory offences (Omar Dhanani/Michael Patryn is a convicted fraudster and co-founder of Quadriga AND still holds shares in Quadriga) - Just as the criminal record of an individual is very important to determining the appropriate penalty, so it is important for a judge to consider whether the organization and its workers had been sanctioned for similar activities in the past, not just in the criminal courts but by regulators like occupational health and safety departments.' https://www.justice.gc.ca/eng/rp-pr/other-autre/c45/c45.pdf Note: 'In 2009, Patryn opened up a Canadian business with Nazmin Dhanani — the same name that appears under 'relatives' on the listing for Omar Dhanani of Fountain Valley on the US public records service Intelius. In 2004, a US Department of Justice press release indicates that an 'Omar Dhanani of Fountain Valley, CA' was arrested for setting up money laundering services for the organized internet crime syndicate called ShadowCrew. Those who claim that Michael Patryn is Omar Dhanani also point to the fact that in 2008, someone named Omar Patryn started a Canadian company named Midas Gold. Midas Gold was later shut down by the US Global Illicit Financial Team.' https://coiniq.com/quadrigacx-review/"





Photos from Michael Patryn's Facebook page are dated 25 February 2018 and 28 September 2018, but in some cases differently dated photographs, like the photos with the tiger cub, are obviously from the same day. Images Source: Facebook.


Other Quadriga People: Aaron Matthews, Director of Operations
  • Reddit (December 2018-January 2019): On Reddit, Matthews blames banks and Billify for slowness of or halts in withdrawals
  • Reddit (15 January 2019): Complaint from Redditor: "[P]lease explain why I cannot find anything on Aaron Mathews or Jennifer Robertson on the internet except linking to Quadriga's announcement and Reddit posts? Even Gerald is virtually non-existent on the internet with the exception of interviews and articles quoting his name. Surely there must be some digital footprint of any of these 3 people. Especially if 2 of them are married. ... Further to last point, can you please provide proof that Aaron Mathews and Jennifer Robertson are real people and real names? I would expect some sort of social media presence whether it be on LinkedIn, Facebook, a blog post, anything. There is no record of their existence online which is really hard to achieve nowadays. Believe me, I've tried. A link to a social media account would be a good start, but how about posting some real proof. It's entirely feasible that the names are real, and maybe it's just me being paranoid, but the names Jennifer Robertson, Aaron Mathews and even Gerald Cotton sound like aliases. Almost like John Smith."
  • Reddit (31 January 2019): discussion on Aaron Matthews
  • Twitter (7 February 2019): Aaron Matthews spoke out to Twitter channel Mitch Airey. In a series of tweets, Airey revealed that Aaron Matthews was not made interim CEO of Quadriga, despite being offered the position. He said people were following his children home and was concerned for their safety and spoke further about his accounting work for the exchange and the stress under which he has been. The tweets are here, here, here, here, here, here, here, which caused further controversy here.
  • Globe and Mail (8 February 2019): "Mr. Matthews is listed as the owner of 700964 NB along with Sarah-Lynn Matthews, according to its business registration. But at the mobile-home park, the man on the porch tells a Globe and Mail reporter that no one by that name lives there. He begrudgingly says his name is Jim. A short time later, he declines to answer any other questions. Visibly shaking, he demands a reporter and a photographer leave the property. A person with knowledge of the leasing arrangements in the park says Aaron and Sarah-Lynn Matthews do, in fact, rent the property. A neighbour says Ms. Matthews lives there and that UPS and Purolator trucks occasionally stop by to deliver small packages to the home. Later in the day, as a Globe reporter takes a photo of the home, a woman in a baseball cap charges out the front door, yelling profanity-laced threats from the porch."
  • Reddit (12 February 2019): Redditors debated the Airey revelations and discussed Aaron Matthews's role at Quadriga, as he had been groomed to take over, yet claimed he did not know many of the exchange's workings; he also claimed never to have met Cotten in person, which was strange for someone in his position.

"1 First Street in Parkside Estates in Quispamsis, New Brunswick, the likely home of interim CEO Aaron Matthews." Image Source: Scott Munn / Globe and Mail.



Other Quadriga People: Alex Hanin

Image Source: LinkedIn.
  • Angel (2018?): Lists Alex Hanin as a Quadriga employee
  • Reddit (9 January 2019): Hanin blames slowness of withdrawals on Bank of Montreal
  • LinkedIn (as of 10 February 2019): Listed as an IT Contractor at QuadrigaCX Bitcoin exchange from February 2014 to the present

Other Quadriga People: Lovie Horner

Image Source: Pinterest.

  • Angel (2018?): Lists Lovie Horner as a member of Quadriga's Board of Directors
  • Youtube (6 February 2018): cites Bloomberg giving Horner's background

Lovie Horner. Image Source: Halifax Examiner.

Lovie Horner. Image Source: Reddit.

Image Source: Telegram.


Other Quadriga People: New Directors
  • Youtube (6 February 2019): New directors of Quadriga Fintech Solutions Corp. and Whiteside Capital Corporation appointed on 27 January 2019: Jennifer Robertson (Cotten's widow), Thomas Beazley (Jennifer 's step-father), and Jack Martel
  • Globe and Mail (8 February 2019): "Shortly after Quadriga pulled the plug on the listing in early 2016, its chief financial officer resigned, along with two board members, leaving just Mr. Cotten to steer the company. (The British Columbia Securities Commission also issued a cease trade order on the private company.) Mr. Patryn remains a shareholder, with a 17.4-per-cent stake through a company called Crypto Consulting Group, registered in Hong Kong. His partner, Lovie Horner, owns another 10.3 per cent. Ms. Horner works as a designer for a dog apparel company, according to her LinkedIn profile, which is no longer online. Mr. Cotten owned the largest chunk at 41.2 per cent."
  • Globe and Mail (8 February 2019): "After Mr. Cotten’s death, the daunting task of untangling Quadriga was left to Ms. Robertson, who was the sole beneficiary and executor of his estate. She called a meeting of shareholders – Mr. Patryn and Ms. Horner – in January to appoint new board members since there effectively was no board any more. Ms. Robertson’s stepfather Thomas Beazley and a man named Jack Martel were appointed, and the board decided to suspend Quadriga’s operations."
  • Reddit (22 February 2019): Jack Martel resigned on 6 February 2019 from the board of directors, revealed in a 20 February 2019. The monitor was informed on 11 February 2019.

Other Quadriga People: Board of Directors, Shareholders


  • Angel (2018?): Lists Board of Directors as Gerald Cotten (founder); Bill Fitness (board member); Jacques Martel (board member); Lovie Horner (board member)
  • Globe and Mail (8 February 2019): "Shortly after Quadriga pulled the plug on the listing in early 2016, its chief financial officer resigned, along with two board members, leaving just Mr. Cotten to steer the company. (The British Columbia Securities Commission also issued a cease trade order on the private company.) Mr. Patryn remains a shareholder, with a 17.4-per-cent stake through a company called Crypto Consulting Group, registered in Hong Kong. His partner, Lovie Horner, owns another 10.3 per cent. Ms. Horner works as a designer for a dog apparel company, according to her LinkedIn profile, which is no longer online. Mr. Cotten owned the largest chunk at 41.2 per cent."



Other Quadriga People: Attorneys


  • Angel (2018?): Lists Ryan Black as Quadriga attorney
  • Nova Scotia Royal Gazette, vol. 228, no. 2, part 1 (9 January 2019): ESTATE NOTICES BEING PUBLISHED FOR THE FIRST TIME; Estate of COTTEN, Gerald William, Fall River, Halifax Regional Municipality, January 2, 2019; Cotten's personal representative Jennifer Kathleen Margaret Robertson, 71 Kinross Court Fall River NS B2T 0E4; solicitor for the personal representative: Richard Niedermayer and Stewart McKelvey, 900-1959 Upper Water Street, PO Box 997, Halifax NS B3J 2X2, January 9, 2019 (6m)

"Maurice Chiasson, a lawyer with Stewart McKelvey, attends Nova Scotia Supreme Court as Canada's largest cryptocurrency exchange seeks creditor protection in Halifax on Tuesday, Feb. 5, 2019." Image Source: THE CANADIAN PRESS/Andrew Vaughan / Maclean's.

  • Coindesk (6 February 2019): The Collapse of QuadrigaCX: What We Know (And What We Don’t): "According to its court filing, about $70 million CAD ($53 million USD) of its funds are held by payment processors in fiat. Of that, about $30 million CAD ($23 million USD) is held by payment processor Billerfy in the form of bank drafts. Billerfy has explained in the past that it was having difficulty finding banking partners to endorse these drafts, preventing it from releasing the funds back to the exchange. During the discussion in court Tuesday, Quadriga attorney Maurice Chiasson, a partner with law firm Stewart McKelvey, asked whether EY – the monitor appointed to oversee Quadriga’s efforts – might be able to assist in finding a banking partner to endorse the drafts.




Quadriga's Partners
  • Reddit (February 2018) and Youtube (6 February 2019): Crypto Capital works/worked with Valoris Hong Kong Limited; in the words of Quadriga itself: "For wire transfers we use the international payments company, Crypto Capital. These instructions [to wire funds to Valoris in Hong Kong] are for our account with them. Unfortunately banks in Canada will not permit Bitcoin companies to have bank accounts at their institutions."
  • Trustnodes (22 November 2017): Bitfinex Reveals a New Polish Bank Account Under a Panama Registered Company: Quadriga also used a Warsaw-based bank, Bank Spółdzielczy w Skierniewicach, which translates to Cooperative Bank in Skierniewice. Its crypto is listed under the account Crypto SP; Crypto SP is in turn owned by Crypto Capital Corp., the nominee director of which is Ivan Manual Molina Lee, who is the nominee director of several companies registered in Panama. Crypto Capital was founded in Panama in 2013 and is owned by Global Trade Solutions AG, Switzerland. Quadriga used Crypto Capital for international payments, which as of January 2019 may still have Quadriga funds
  • Youtube (6 February 2019): WB21 Digital Bank sent wires on behalf of Quadriga; Robertson claims that WB21 is holding CAD $8,991,811.77 and USD $2,360,755.53 on behalf of Quadriga and is refusing to communicate with Quadriga
  • Youtube (6 February 2019): Mid-2017 Quadriga began using multiple banks abroad rather than one in British Columbia, Canada; this caused Canadian banks to start denying services to Quadriga: Poland, Georgia, Germany, Hong Kong, Panama, etc.
  • Reddit (11 February 2019): Is Crypto Capital named ANYWHERE in the affidavit or other court documents? They hold QCX money, and it's documented.
  • NewsBTC (12 February 2019): Controversial Crypto Exchange QuadrigaCX Linked in Binary Options Scam



Quadriga's Business Partner: Billerfy Managing Director and Owner José Reyes / Costodian Inc.
  • Ontario Superior Court of Justice (9 November 2018): Canadian Imperial Bank of Commerce v. Costodian Inc. et al, 2018 ONSC 6680
  • Globe and Mail (13 November 2018): Judge rules with CIBC, grants possession of disputed Quadriga funds to Ontario Superior Court; Reyes mentioned: "Vancouver-based QuadrigaCX has been unable to access the funds since January, when CIBC froze several accounts belonging to the exchange’s payment processor, Costodian Inc., and its owner, Jose Reyes. ... In January, as the price of bitcoin began tumbling after hitting roughly US$20,000, CIBC froze two business accounts and three personal accounts belonging to Costodian and Mr. Reyes, according to court documents. The bank said it had received wire recalls from seven depositors and was unable to determine whether to honour them. That’s what prompted the bank to request an 'interpleader order,' so that it can hand the money over to the court and have the justice system decide who it belongs to."
  • Reddit (15 January 2019): Statement from Jennifer Robertson, wife and partner of Gerald Cotten, on behalf of QuadrigaCX: One Redditor noted on 17 January 2019: "Between December 22-28, 2017, Reyes transferred $1.3 million from the Transaction Account to his personal chequing account, and another $1 million from the Transaction Account to his personal savings account. Reyes has admitted that he has no interest in these funds and did not notify Quadriga prior to transferring them to his personal accounts."
  • Reddit (20 January 2019): Concerns about withdrawals at Quadriga prompt Redditors to list Reyes's contact details
  • Reddit (20 January 2019): Speculation on whether Reyes has Quadriga deposits, has shell companies, is laundering money
  • CBC (3 February 2019): Sudden death of cryptocurrency leader sends Quadriga into tailspin, panicking clients: "Troubles began when CIBC took legal action and froze almost $26-million of Quadriga's funds in early 2018. According to court documents, the bank alleged that money from 465 deposits was held in accounts belonging to the exchange's payment processor, Costodian Inc., and owner Jose Reyes. The bank alleged it was unable to determine who the money belonged to and began investigating."
  • Coinspice (4 February 2019): DEEP DIVE VIDEO: The Truth About QuadrigaCX, Millions Lost, Paper Trail Gets Weird: "It turns out the accounts were frozen by CIBC because Jose Reyes, the man in charge of fiat withdrawals at Quadriga, had attempted to transfer $2.3 million to his personal accounts with CIBC in December 2017. This is when the bank froze Quadriga’s account and this transaction. CIBC then attempted to speak with the CEO, Gerald Cotten, but he refused to communicate with the bank. The matter was then seemingly resolved in court, literally a week before Cotten’s death, where the court ordered the funds to be immediately released to Jose Reyes and the Quadriga account unfrozen. Quadriga then stated that all pending customer withdrawals will be fulfilled by the end of the week, but that did not happen."
  • Coindesk (6 February 2019): The Collapse of QuadrigaCX: What We Know (And What We Don’t): "According to its court filing, about $70 million CAD ($53 million USD) of its funds are held by payment processors in fiat. Of that, about $30 million CAD ($23 million USD) is held by payment processor Billerfy in the form of bank drafts. Billerfy has explained in the past that it was having difficulty finding banking partners to endorse these drafts, preventing it from releasing the funds back to the exchange. During the discussion in court Tuesday, Quadriga attorney Maurice Chiasson, a partner with law firm Stewart McKelvey, asked whether EY – the monitor appointed to oversee Quadriga’s efforts – might be able to assist in finding a banking partner to endorse the drafts. It is unclear whether this is a possibility, and EY declined to comment when reached. In an email, Billerfy managing director and owner José Reyes told CoinDesk he had not yet heard from EY, and was not sure what the next steps would be now that the company has been appointed as monitor. He added in a later email that he has not had any luck finding banking partners to endorse the drafts yet."


Blockchain Forensics




Tracking Ether wallets on QuadrigaCX: Unconfirmed: Insights and Analysis From the Top Minds in Crypto Podcast (8 February 2019): The QuadrigaCX Case: Taylor Monahan on What We Know From the Blockchain - Ep.059.

  • Twitter (February 2019): Concern that Quadriga will affect the whole crypto space and investigations of blockchains, from @CryptoMedication (James Edmonds) see also here
  • Medium (later removed; originally dated 3 February 2019): QuadrigaCX Chain Analysis Report (Pt. 1): Bitcoin Wallets
  • Crypto Potato (3 February 2019): Change in The Plot? QuadrigaCX $190 M Loss Could Turn Into Theft Following Its Litecoin Sudden Move: "As of the end of January 2019, over 115,000 users had a positive balance on their QuadrigaCX account; funds were divided as 180 million CAD in crypto and the rest 70 million CAD in FIAT. To this point, the division between the exchange’s hot and cold wallet is unclear."
  • Twitter (4 February 2019): Taylor Monahan writes: "I'm seeing NO indication of Quadriga ever having cold / reserve wallets for ETH."
  • NewsBTC (4 February 2019): QuadrigaCX Never Held $100M In Bitcoin, Says Crypto Researcher
  • CCN (4 February 2019): MyCrypto CEO: QuadrigaCX May Not Have Ethereum Cold Wallet, Where’s the Missing $150m?
  • FXStreet (4 February 2019): The QuadrigaCX story takes another strange twist: "It appears that there are no identifiable cold wallet reserves for QuadrigaCX. It appears that QuadrigaCX was using deposits from their customers to pay other customers once they requested their withdrawal. It does not appear that QuadrigaCX has lost access to their Bitcoin holdings. It appears the number of bitcoins in QuadrigaCX’s possession are substantially less than what was reported in Jennifer Robertson’s (wife of allegedly deceased CEO and Owner Gerry Cotten) affidavit, submitted to the Canadian courts on January 31st, 2019. At least some of the delays in delivering crypto withdrawals to customers were due to the fact that QuadrigaCX simply did not have the funds on hand at the time. In some cases, QuadrigaCX was forced to wait for enough customer deposits to be made on the exchange before processing crypto withdrawal requests by their customers. After completing the analysis, it is the author’s opinion that QuadrigaCX has not been truthful with regards to their inability to access the funds needed to honor customer withdrawal requests."
  • Youtube (6 February 2019): Gerald Cotten's widow asks retired RCMP Chris McBryan to try to crack Cotten's laptop
  • Zero Hedge (6 February 2019): Mystery Surrounding 'Lost' $150M Crypto Fortune Deepens As Analysts Question Exchange Founder's Death
  • Cryptoforensic Investigators (6 February 2019): QuadrigaCX: Using Cryptocurrency Forensics to Prove Fraud or an Exit Scam
  • CEO (6 February 2019): What Happened at QuadrigaCX and Where is the $190 MIllion?: "It is possible that Gerald Cotton moved the crypto to secret accounts to perform what is called in the industry an 'exit scam.' However, it's also possible that Cotton moved the reserves to exchanges such as Bitfinex to loan out the crypto for interest. Bitfinex Daily Interest Rate as of February 5th, 2019. As you can see from the chart, yearly interest for Bitcoin is 1.46% and for Ethereum is 189%. With regard to Ethereum, that’s not a typo: 189%. I think it’s safe to speculate that for an owner of any crypto-exchange, that type of interest rate would be very tempting. Conclusion: Where is All the Crypto? The $190 million worth of crypto is in one of two places: Cotton’s laptop. Somewhere else. There good reasons why it would NOT be on the laptop and good reasons why it would be somewhere else i.e. at the Bitfinex exchange earning interest. What’s needed now is a court order for the QuadrigaCX organization to disclose the addresses of the wallets (hot or cold) that the funds were transferred to."
  • Twitter (6 February 2019): "We know from court docs that 15.62074542 BTC was transferred to Quadriga hot wallet from Gerrys phone on January 15th"
  • Wall Street Journal (7 February 2019) and Twitter: A Crypto-Mystery: Is $136 Million Stuck or Missing? Customer holdings are trapped in an electronic vault after founder’s reported death, but researchers aren’t so sure: "It appears Quadriga transferred customer funds to other cryptocurrency exchanges, although it isn’t clear what might have happened to the money from there."
  • Fortune (7 February 2019): Story of Quadriga's Trapped Cryptocurrency Fails Smell Test, Experts Say
  • Financial Post (7 February 2019): Scores of sleuths are searching for Quadriga’s frozen crypto coins — if they even exist at all
  • Unconfirmed Podcast (8 February 2019, embedded at the top of this section): Taylor Monahan speculated that Quadriga could have used ID information provided by Quadriga's depositors to open any number of accounts on other exchanges, or worse, she hinted that the ID information could be sold on the black market; this worry was confirmed on Reddit and by Michael Patryn's past (see section on him, below)
  • Coindesk (8 February 2019): Funds Were Moving On QuadrigaCX Right Before Its Collapse
  • Medium (8 February 2019): QuadrigaCX’s Collapse Was an Inside Job
  • Blockpublisher (9 February 2019): Unraveling the Curious Case of Quadriga CX. Contrary to popular belief, QuadrigaCX did have cold wallets. Alas, they’re empty.
  • Twitter (10 February 2019): "QCX moved a few hundred thousand dollars a couple of days ago from their Bitcoin hot wallet."
  • Twitter (10 February 2019): "QCX moved money on February 6th to mixers & wallets clearly associated with laundering money from criminal activity (drugs/hacked exchanges/etc). It isn’t liquidated. Just parked. Typical activity of hackers. They park the money until you forget about it - then liquidate." The same was true for ether wallets.
  • Reddit (10 February 2019): Building a case against QuadrigaCX and its co-conspirators: Bitcoin blockchain forensics reveal a conspiracy of actors behind the scenes, not Cotten and his wife ("diversions"), who are "still active and solvent": "QCX was just the tip of the iceberg and this fraud goes way deeper. He has stated that Gerry/Jen appear to be diversions and that the significant principles involved are still active and solvent. They do not appear to be aware that their connection has been discovered. The worry is that if they catch a whiff of the information, they will start covering their tracks and hiding their funds."
  • Reddit (11 February 2019): "1 Week Before Gerry Died...This Happened ... So we now know 1 week before Gerald Cotten 'died' even up to the day before his apparent death approximately 1 million dollars in Ethereum was moved out of Quadriga on to other exchanges. This is becoming clearer and clearer that this was orchestrated ahead of time and with the information we received today that there is no cold wallets that can be traced on the blockchain it's pretty safe to say that this is a confirmed exit scam at this point."
  • Medium (11 February 2019): QuadrigaCX Was Never Legitimate. QuadrigaCX’s executives are lying about losing access to their reserves. Blockchain evidence proves it.


  • Taylor Monahan / GoogleDocs (11 February 2019): _QC@X ETH Primary document: Monahan with others compiled QuadrigaCX's known Ethereum wallets data, with sending and receiving addresses, historical dollar values for Ether transacted to and from the exchange. Notes from the document:
"This is a messy compilation of notes about various addresses. When we were initially researching, we pulled addresses based on things like large number of interactions with known main wallets, large transactions, even transactions (1000 ETH vs 583.9490239 ETH), etc. We then put it in a sheet with notes For this reason, some addresses show up multiple times in the list. This is because they showed up across multiple addresses with anomalous behavior. This isn't really worth reading as the most up-to-date summaries on the important addresses are below [in the document]. Full transaction history of 0x027beefcbad782faf69fad12dee97ed894c68549, which was the main hot wallet used by Quadriga between 4/9/2016 and 6/2/2017. You will see the address 0x1e143b2588705dfea63a17f2032ca123df995ce0 show up frequently. This is the address of a smart contract known as the ''Safe Split'' contract, which ensured exchange did not send both ETH and ETC when processing deposits. We are working on grabbing the actual ''from'' address for these transactions. From 5/23/2017-5/30/2017, you will notice a distinct lack of deposits. This is because the transactions they were generating were incorrectly formatted and all funds depositted into the exchange during this time were stuck in the safe split contract. You can read more about that incident below [in the document]. This prompted the move from using 0x027beef as the hot wallet to using 0xb6aac3b56ff818496b747ea57fcbe42a9aae6218, which is still being used as the [Ethereum] hot wallet to this day and is mentioned in the affidavit."


  • Telegram Group Quadriga Uncovered (11 February 2019): Users concluded that the above blurry image (click it to enlarge) from the exhibit in Jennifer Robertson's affidavit lists Quadriga's main Bitcoin hot wallet address as 3N8auHdN9rtmHDHqNnXK4eWhfukBAQcve1, with the blockchain history of the wallet shown here. Tavish Gilmour: "There are outright lies now proven from the affidavit, verified by the [Bitcoin] blockchain."
  • BNN Bloomberg (12 February 2019): More than $400,000 in QuadrigaCX cryptocurrency disappears into 'cold wallet'
  • ETH News (12 February 2019): Report: QuadrigaCX Transferred BTC To Owner-Controlled Cold Wallets
  • Coindesk (13 February 2019): Blockchain Analysis Ties 5 Bitcoin Addresses to QuadrigaCX Exchange
  • Facebook (20 February 2019): "960 eth moved out from quadriga wallet on valentine's day And looks like theres still ppl mining to their quadrigacx wallets"





Theories
  • QuadrigaCX's Pastebin (8 May 2018): a single paste by user 'QuadrigaCX' provides apparently stolen user names and passwords to gain access to a variety of legitimate and dodgy Websites (Thanks to -J.)
  • Reddit (6 February 2019): Early Quadriga investor, Dr. Gerald Wittenberg, has a Panama Papers connection
  • Reddit (10 February 2019): An anonymous Quadriga contractor acts as whistle-blower in an AMA on Reddit: "I am not confident that Gerry is dead. ... I will leak damning/incriminating evidence against ... [Jennifer Robertson] — but not yet." He thought Gerald Cotten had been a victim of foul play. And he spoke of Jennifer Robertson's composure at Cotten's funeral: "I remember her talking more about food in her eulogy than she did Gerry. She seemed to me be fake-greiving during the funeral. She was having a party in her room with her friends the following evening. Drinking and dancing ensued."






  • Reddit (10 February 2019): Quadriga's users report canceled withdrawals from the Quadriga site while it was still running, between the CEO's 'death' on 9 December 2018 and site shutdown at the end of January 2019. In that period, the site only accepted deposits. They believe this is a clear indication of fraud and a crime in progress. In unprecedented activity on social media, Redditors begin amassing the material to support a criminal case.
  • Reddit (10 February 2018): Building a case against QuadrigaCX and its co-conspirators: Bitcoin blockchain forensics reveal a conspiracy of actors behind the scenes, not Cotten and his wife ("diversions"), who are "still active and solvent": "QCX was just the tip of the iceberg and this fraud goes way deeper. He has stated that Gerry/Jen appear to be diversions and that the significant principles involved are still active and solvent. They do not appear to be aware that their connection has been discovered. The worry is that if they catch a whiff of the information, they will start covering their tracks and hiding their funds."
  • Reddit (11 February 2019): "Criminal Case Against Quadrigacx: A path forward ... legal information th[at] be[gins] to outline the criminal case against Quadrigacx by way of negligence and misrepresentation"
  • Reddit (12 February 2019): Redditor tracked down a new incarnation of Fintech
  • Telegram Group CryptoMedication (12 February 2019): @CryptoMedication began to post his research on QuadrigaCX's history on his channel on Telegram and held a poll on Twitter, asking if he should release the information more broadly:

"Hey, what do you know! Shapeshift actually sent funds *TO* QuadrigaCX too. Source: https://etherscan.io/txs?a=0x0ee4e2d09aec35bdf08083b649033ac0a41aa75e&p=99

Again, this is to ... show people through the Etherscan explorer itself what QuadrigaCX owns and establishing how they own it and why these aren't random customer funds.

Also, when noting that ShapeShift is owned by Voorhees and that Coinapult was co-founded (and ran) by him as well AND that Coinapult used Crypto Capital Co as a payment processor, it should be readily apparent that this is a little deepr than them 'Sending money to Shapeshift and exchange it for Bitcoin'.

In fact, this narrative makes absolutely no sense because the massive funds they were getting weren't even coming from customers for the most part. Sure, they aggregated a lot of customer funds and sent them off.

But it seems pretty obvious that they were just moving money around between exchanges without it ever touching any customer hands.

This is another QuadrigaCX wallet address:


Notice how all these funds were moving between QCX, Bitfinex, and Kraken just a COUPLE of days before Gerry Cotten's death.

So let's scale this back a second.

... This situation** is bigger than individuals. I'm not even really interested in diving into Gerry Cotten's existence, because there are numerous serious legal issues with the exchange and it seems obvious that they wouldn't be solvent whether he was alive or not.

To be honest, there's not much to glean from the $ETH analyses (or analysis if you're just viewing one). All of the good information is contained on the Bitcoin protocol. So, that's where we'll head to next.

Quadriga released this from the court monitor stating 'On February 6, 2019, Quadriga inadvertently transferred 103 bitcoin valued at approximately $468,675 to Quadriga cold wallets which the Company is currently unable to access.'

Let's just debunk this real quick ... they were clearly moved out ... it was more than 100 bitcoins.

I know a lot of people don't get it - but clustering on the Bitcoin protocol is bulletproof.

People that don't understand wallets or the Bitcoin protocol have been lured into the speculation of 'What if it's wrong? Is it possible that they're just lumping in the wrong addresses?'

If you want my opinion though - QuadrigaCX knows that this is easy to prove. I think that they would rather divert the narrative to people discussing Gerry Cotten's death or Omar Patryn (Michael, whoever) or some other story that doesn't have to do with the overarching, larger picture here.

NO.

... That larger story has a lot to do with the history of Quadriga.

More specifically, the history behind exchanges like Cavirtex.

Cavirtex is a Canadian exchange that existed before QuadrigaCX. Some already know this, many don't. They closed suddenly in the beginning of 2015. The reason for their closure was sort of vague.

They're connected to Crypto Capital Co. through Havelockinvestments.

If you've never heard of Havelockinvestments, they were a company that essentially issued 'shares' of Bitcoin companies (sound familiar? Kind of like ICOs, but we'll get down that rabbit hole later).

One of those companies that they issued shares for was Cavirtex.

Apparently this plan did not go very well for HavelockInvestments. Cavirtex suddenly broke off from the arrangement and that left shareholders screwed because there was no real reliable source to redeem the shares apart from the heavily devalued buy back offer that Cavirtex gave investors.

Cavirtex lawsuit information (re: shares)


Following Cavirtex's insolvency in January 2015, they were acquired by a company called 'Coinsetter' (much more on them soon). The CEO of that company was a guy by the name of Jaron Lukasiewicz. Coincidentally, the ever elusive Gerry Cotten himself was attending events* with Jaron Lukasiewicz:


1. QuadrigaCX laundered funds from Cryptsy and Cavirtex (that's demonstrable on the blockchain - easily and I'll prove that no problem).

2. Cavirtex was purchased by Kraken in 2016 (and effectively Coinsetter as well). Cavirtex.com originally resolved to kraken.com. However, in 2018, it was changed to QuadrigaCX.com, which is strange.

3. Cavirtex.com now resolves to Coinsquare.com. This change was made on February 7th, 2019 (right after a Twitter user made this known).

Everything that I have stated thus far is just the tip of the iceberg as far as QuadrigaCX is concerned.

... What I just posted is really nothing and does not even go into the scale of what's going on. Even the picture I showed you of the Bitcoin transactions leaving the hot (not cold) wallet is nothing. This goes way deeper than them just taking customer funds or Gerald faking his death or them lying about hot/cold wallets.'

Knowing where the funds are going to means nothing if you don't explore where they're coming from."



  • Telegram (17 February 2019): Telegram user claims that a bank official confirmed that Quadriga's payment processors have approached one Canadian bank with $70 million of Quadriga's uncashed bank drafts; the bank was willing to cash the drafts if they receive a court order; this is in addition to the $25 million in CIBC bank drafts


The Future
  • Twitter (4 February 2019): Talk of Kraken buying Quadriga
  • Cointelegraph (5 February 2019): Breaking: Lawyers Might Sell QuadrigaCX to Settle Debts

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