Jennifer Robertson, the widow of late QuadrigaCX founder – Gerald Cotten, is crying out over the intense public scrutiny surrounding the matter of the Bitcoin exchange’s missing funds. Robertson wants to hand over the company’s restructuring process to more experienced and knowledgeable individuals while the exchange is still under creditor protection. Meanwhile, the sage of the missing funds continues with numerous theories floating around on social media.
Calls for a Chief Restructuring Officer for Troubled Bitcoin Exchange
According to Bloomberg, Robertson submitted an affidavit with a Canadian Court on Monday (February 25, 2019). In the affidavit, the late founder’s wife asked the Court to approve the appointment of a chief restructuring officer.
Since Cotten’s death, Robertson, along with stepfather, Tom Beazley stepped into the role of director at the company. Jack Martel also joined the duo but has since stepped down from the position.
An excerpt from the affidavit reads:
“The remaining two directors, being me and Tom Beazley, have no significant experience in the cryptocurrency industry and no experience with an insolvent company.”
Citing lack of experience, Robertson along with Beazley want the Court to appoint Peter Wedlake to take over the role of chief restructuring officer. Wedlake is a partner and senior vice president at Grant Thornton.
If granted, Wedlake will oversee the restructuring process of the firm during this crisis period, with the company owing its over 100,000 clients more than $197 million in Bitcoin and fiat deposits.
The weight of Public Scrutiny Proving Difficult to Bear
Apart from lack of experience, Robertson says the degree of vitriol thrown her way by aggrieved customers and other commentators on the matter are taking a toll on her. Explaining further, the affidavit states:
“Further, the public attention my role as director has brought is unwanted, and online commentary which I have reviewed has suggested that I, in particular, am trying to hide assets or am acting contrary to the best interests of the companies, which is not true.”
As reported by Blockonomi earlier in February 2019, customers have since turned their ire and frustration to Robertson since stepping into the role. On platforms like Twitter and Reddit, allegations continue to trail Robertson’s involvement and perhaps, complicity in the saga.
On the dedicated Subreddit, Robertson reports receiving death threats and other unsavory messages. Some even claim that Cotton’s death is nothing but a hoax, part of an elaborate exit scam to siphon customer funds.
The fate of Missing QuadrigaCX Funds
For now, the fate of missing funds remains in limbo with QuadrigaCX also asking for an extension to the order of creditor protection. At the start of February 2019, the Court initially granted a one-month stay of proceedings to enable the firm to account for missing funds adequately.
However, despite the passage of a few weeks, it appears that the Bitcoin exchange is no closer to locating the funds. In the time that has passed independent researchers and investigators allege to have found numerous questionable fund transfers reportedly linked to the exchange.
One blockchain expert, James Edwards (@ProofofResearch) via a thorough forensic analysis shows an elaborate and systematic money laundering scam involving QuadrigaCX, foreign banks, and some popular cryptocurrency exchange platforms.
In all, the QuadrigaCX situation seems right up there with the Mt. Gox sage from 2014. However, while for other platforms, trouble usually began due to a hack, the QuadrigaCX situation seems to be a unique case. Exit scams aren’t a novelty in the cryptocurrency space, but the scale of the QuadrigaCX matter has catapulted it to the forefront of many discussions in the industry.