Cryptopia liquidators distribute $400M to victims of 2019 hack. Ongoing distributions are planned for verified users in the New Year.
The liquidators of the bankrupt Cryptopia exchange have reached a significant milestone in their ongoing liquidation process. More than 10,000 verified account holders have now received their first cryptocurrency distributions over the past two days. It is part of an effort to return assets to those who have been affected by the Cryptopia 2019 hack.
In just two days, Grant Thornton, the firm handling the liquidation, declared that over $400 million NZD worth of cryptocurrency had been returned on chain, which includes Bitcoin and Dogecoin. After years of work to identify and confirm the users affected by the hack, this is a major step.
Cryptopia Liquidators Work to Return 100% of Holdings to Users
Liquidators have been hard at work since 2020, when they launched the Cryptopia claims portal, to reconcile millions of transactions from nearly 960,000 users. They have followed Justice Gendall’s March 2020 decision to return assets “in-specie.” It means that users would receive their cryptocurrency holdings in the same form they were originally stored.
While this initial distribution is a major accomplishment, it is not the last. Going forward, liquidators will stick to the approved process and distribute any remaining Bitcoin, Dogecoin, and other cryptocurrencies of sufficient value before cut-off dates are given.
There may also be a top-up distribution for account holders. This would give users 100% of the value of their holdings taking the unclaimed holdings from those users who have not been registered into the claims portal by the cutoff dates. The soft cut off date will be notified to account holders by liquidators in the coming days.
All remaining account holders are then urged to register on the claims portal to make sure they are entitled to future distributions. Plans are in place for new distributions for new verified users for the new year.
The liquidators also thanked account holders for their patience and cooperation. Although they work tirelessly to get the assets to all eligible users, they still have not done it yet. As this process is ongoing, no further comments will be made at this time.
