Hacked Exchange Cryptopia Goes Into Liquidation

As announced by many best cryptocurrency news sites, the long expected news from the hacked exchange Cryptopia show that the company has gone into liquidation. Cryptopia has suspended its trading operations and announced the news via its assigned liquidator.

The professional services firm Grant Thornton New Zealand was the liquidator that announced the hacked exchange Cryptopia’s liquidation – confirming the news on Twitter as well as its official website.

It all started when the Cryptopia website went under maintenance without any message or notice, which was echoed in the latest cryptocurrency news as a potential breakdown. The social media profiles of the hacked exchange Cryptopia were also empty, and one Redditor was eagle-eyed to first notice the hack and asked if the exchange had been hacked again.

In January 2019, Cryptopia went offline for a couple of days before stating that it has “suffered a security breach which resulted in significant losses.” Then, one blockchain data analytics firm was featured in the altcoin news, showing that the attack resulted in as much as $16 million in Ether (ETH) and ERC-20 tokens were lost. Later, in March, the exchange restarted its trading services but still suffered from banking issues.

The hacked exchange Cryptopia then had Grant Thornton saying that the hack had a “severe” impact on the company’s trade and despite the management efforts to reduce the cost and return the business to profitability – the stakeholders decided that liquidation was the best path to continue with.

As today’s announcement about the hacked crypto exchange shows, David Ruscoe and Russell Moore from Grant Thornton will help Cryptopia to secure its assets “for the benefit of all stakeholders.”

“While this process and investigations take place, trading on the exchange is suspended,” Grant Thornton said, adding that the complex investigation will take “months rather than weeks.”

There were many users which commented about the hacked exchange Cryptopia and its announcement, mainly expressing their frustration because of the inability to withdraw funds since the hack. However, Ruscoe came out with an official statement:

“We realise Cryptopia’s customers will want to have this matter resolved as soon as possible. We will conduct a thorough investigation, working with several different stakeholders including management and shareholders, to find the solution that is in the best interests of customers and stakeholders.”

Right now, Grant Thornton is preparing to file an initial report on the hacked exchange Cryptopia and the entire case on the New Zealand Companies Office website.