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QuadrigaCX likely lacked any ETH cold wallets, per report

Quick Take

  • Elementus found that QuadrigaCX likely didn’t have any Ethereum cold wallets
  • During the last three years, a large portion of the funds were continuously sent to Shapeshift in small amounts and then converted from ether to bitcoin, litecoin and bitcoin cash before being sent to Bitfinex
  • Elementus says that “some of the funds sent most likely went back to some deposit accounts, but the majority has been sent to exchanges and didn’t come back.”

Blockchain analytics company Elementus concluded that QuadrigaCX likely didn’t have any Ethereum cold wallets, following a deep investigation of QuadrigaCX wallets viewed by The Block.

QuadrigaCX was granted creditor protection this week to settle debts which came into light following the sudden death of the firm’s CEO and founder, Gerald Cotten.