Investigation into Bitcoin Exchange Cryptsy Issues Subpoenas, CEO Remains Missing
The court-appointed receiver for Cryptsy, the defunct, Florida-based cryptocurrency exchange that claims to have lost more than $5 million in investors’ funds to theft, has filed a report that identifies some of the banks and exchanges the defendants used in operating the scheme that left hundreds of investors without access to their accounts. The receiver, James D. Sallah, an attorney for Miami, Fla.-based Payton & Associates LLC, filed the report in the U.S. District Court Southern District of Florida. The court appointed Sallah as receiver last month in response to an investor....
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The popular cryptocurrency trading site Cryptsy.com has been having some noticeable issues these past few hours. Users of Cryptsy have been reporting negative balances, frozen transfers, suspended withdrawals. Speculation is that a recent update is causing the issues. Cryptsy is aware of the issues, but no official statement has been released yet. Who's been hit? I spoke to BlackDogeOfWallSt, one of the developers of BlackCoinPool.com (BCP), which has probably been the hardest-hit community from Cryptsy's problems. BCP has had to delay their payments due to the problems. BCP's payouts have....
For nearly twelve hours, Cryptsy.com, an elder "alt coin" exchange which has been the subject of semi-regular community outrage for various reasons, has been inaccessible. According to one of the exchange's proprietors, Paul Vernon, the site has suffered a DDoS attack not unlike the one CCN has been experiencing as of late. Website offline due to denial of service attack. We are working to mitigate. - BigVern (@cryptsy) November 25, 2015. The difference is that CCN has managed to come back online in a matter of a couple hours, not half a day. More importantly, CCN isn't holding onto....
With the investigation into Cryptsy still underway right now, it seems odd one of the exchange’s altcoin wallet addresses has a declining balance. To be more precise, someone noted how the Cryptsy Unobtanium wallet has been sending funds to Bittrex, where a major dump of the digital currency took place. So far, the Bittrex team remains tightlipped regarding the incident. Cryptsy Funds On The Move. By the look of things, someone has been moving Unobtanium funds from a Cryptsy wallet over to the Bittrex exchange. Based on various Twitter reports – which are always subject to interpretation –....
The CEO of cryptocurrency exchange Cryptsy has been indicted in the U.S. The 17-count indictment charges the crypto exchange executive with “tax evasion, wire fraud, money laundering, computer fraud, tampering with records, documents, and other objects, and destruction of records in a federal investigation,” the DOJ said. Cryptsy’s CEO Faces 17-Count Indictment The U.S. Department of Justice (DOJ) announced Wednesday that Paul E. Vernon, the founder, operator, and chief executive officer (CEO) of Project Investors Inc., doing business as Cryptsy, has been indicted. A....
Cryptsy, the digital currency exchange that has been dogged by rumors of insolvency amid persistent issues related to user withdrawals, has said that it has suspended its trade engine. "Trade engine and withdrawals paused while we investigate cause of lag. Your patience is appreciated. Thank you," a message on the main Cryptsy page read at press time. The exchange, which specializes in the trading of alternative cryptocurrencies (altcoins), has long been the subject of controversy. The exchange reported roughly 235 BTC in volume over the past 24 hours, but has long faced criticism over....