Cryptopia Users Receive Good News After New Court Verdict

The cryptopia users who lost their funds in the exchange hack could be one step closer to recovering their funds according to the new court verdict by the New Zealand High Court as we are reading further today in our crypto news.

After a year of investigating, the liquidators Grant Thornton finally got some good news from the court. The cryptopia users can expect some good news as the exchange posted an update to the Twitter account earlier today. After the long battle, it seems that the victims could be recovering their funds. Justice Gendall from the High Court of New Zealand delivered some important notes in his 74-page document:

‘’TL;DR? Cryptocurrencies are “property” and despite the fact that the assets were held in co-mingled wallets, they are officially owned by the account holders and not the company itself.’’

This is good news for the Cryptopia users because it means that the hacked exchange liquidators can start the process of getting the funds back without having to perform a long reconciliation process which was a part of the game plan last month. The liquidators had a tough job since they got the case in 2019. They found out that the users’ funds were mixed in the co-mingles wallets and also found breaches in AML requirements which looked like the users could never get their funds back. The New Zealand Judge, however, threw them a lifeline.

Some of the Cryptopia users noted that the liquidators could do a better job at communicating with them since many people don’t have the time nor the knowledge to understand the lengthy legal document. Some of them took it to twitter:

‘’When and how are we receiving our coins back? Don’t expect people to read your lengthy report everytime, your report needs to come in with more of highlighted decisions and next actions.’’

However, after a long time, it now looks like the legitimate users are getting closer to recover their funds but the only question remains is when will that happen? As well as reported previously, The Cryptopia liquidators from the New Zealand crypto exchange successfully recovered about $11 million in the past six months but they claim that the process is still very difficult.