2019/73
November 21, 2019
Vancouver
– The interim receiver appointed to preserve the assets of Einstein Exchange, a
crypto-asset trading platform, has concluded its work and has been discharged
from its duties.
The Supreme Court of British Columbia granted Grant
Thornton Limited’s request to be discharged as interim receiver of the
crypto-asset trading platform Monday. The British Columbia Securities
Commission (BCSC), which applied to the court for appointment of an interim receiver
November 1, did not ask for an extension of the receivership.
The BCSC made the application for an
interim receiver to preserve any of Einstein Exchange’s assets after learning
that customer funds might be at risk.
In its
report
to the court, the interim receiver said the Einstein Group has less than $45,000 in cash and cryptocurrency.
The interim receiver also reported that,
according to the management of the Einstein Group, it owes customers between $8
and $10 million U.S., that there are several claims against the Einstein group
and that there are several unpaid suppliers.
The interim receiver found computer
equipment, office furniture and equipment, and three bitcoin automated teller
machines. It will return all books, records and property to the Einstein Group.
The interim receiver also shut down the trading
platform’s website and as a result, customers were no
longer able to deposit funds or purchase cryptocurrency.
The BCSC will continue its investigation.
The
BCSC, along with other Canadian securities regulators, urges Canadians to
exercise caution when buying or selling any crypto-assets due to the risks
involved, including the risk of losing all of their money. The risks are
exacerbated with trading platforms that maintain control of crypto-assets, or
other assets, owned by investors.
About the British Columbia
Securities Commission (
www.bcsc.bc.ca
)
The British
Columbia Securities Commission is the independent provincial government agency
responsible for regulating capital markets in British Columbia through the
administration of the Securities Act.
Our mission is to protect and promote the public interest by fostering:
-
A securities market that is fair and warrants public
confidence
-
A dynamic and competitive securities industry that
provides investment opportunities and access to capital
Media
Contact:
Elise Palmer
604-899-6830
Public
inquiries:
604-899-6854 or 1-800-373-6393 (toll free)
inquiries@bcsc.bc.ca
Learn how to
protect yourself and become a more informed investor at
www.investright.org
