Reddit Users Exclaim QuadrigaCX Going Offline Is An "Exit Scam"

QuadrigaCX Exchange, a Canadian cryptocurrency exchange’s decision to go offline without prior notice has led to the assumption that it is an exit scam. Reddit users based their assumption on the recent ordeals of the crypto exchange.

QuadrigaCX Exchange Troubles

QuadrigaCX Exchange has been in turbulent waters of operation in recent time due to its inaccessibility of $28 million of its funds since January 2018. This was caused by the decision of the Canadian Imperial Bank of Commerce to freeze several accounts belonging to the crypto exchange.
A release by the exchange during the period noted that the CIBC has been holding the exchange funds hostage since January 8, 2018, and the exchange is trying to find an ex post facto justification for wrongfully freezing and continuing to freeze these accounts in the first place. This, in turn, was blamed as the cause of the delay its users were experiencing using the exchange.
Of recent, on the 11th of January, the exchange had released positive news that it was making progress in seeing its fund returned by the Canadian Imperial Bank of Commerce after resolving a legal fight. However, its recent decision to go offline without prior notice to users has caused stirs. The exchange noted on its website that it went offline due to an unannounced system maintenance upgrade.

Reddit Users Responds

In response to the development, Reddit users have stated that it is an exit scam of the exchange. This has further been worsened by the inability of its users to make a withdrawal for some months now.
Some of the responses by users stated that “They ran into problems and decided it was easier just to rob everyone. They’re thinking ‘everyone is a thief anyway’ to justify it.” Also, another response asked if QuadrigaCX shouldn’t have informed their users before taking its site down.

Death Of Exchange Founder and Inaccessibility Of Cold Storage

Also, another postulation adduced for the woes of the exchange is the death of the founder, Gerry Cotten. He is the only one considered to have access to the exchange cold storage. Thus, the activity of the exchange is affected.

The Effect Of Crypto Winter Market On Exchanges

The crypto winter market has affected the growth of many crypto firms and has led to the downsizing of staffs and the closure of some. Recently, Liqui Exchange stops operation, and more exchanges have been stated to follow by some enthusiasts.

Related posts
cryptocurrencyDOGEdogecoinDOGEUSDElon MuskNewsTron NewsTRXUSD

As Elon Musk’s SpaceX Literally Sends Dogecoin To The Moon, Justin Sun Craves For Tron to Tag Along

Justin Sun, the CEO of Tron is offering Elon Musk a million-dollar deal, to help launch a satellite for BitTorrent and Tron. The CEO of the leading network has been clamoring for the adoption of the Tron network and its…
BitcoinBitcoin NewsbtcusdBTCUSDCBTCUSDTFacebookMark ZuckerbergNewsxbtusd

Facebook’s Mark Zuckerberg Might Have Just Made A Grand Entrance Into The Bitcoin Market

The CEO of Facebook might have just dropped subtle hints on his “Bitcoin holdings.” In a post that has left the cryptocurrency space confused, for the most part, Zuckerberg posted a picture of two of his goats, named Max and…
BitcoinBitcoin NewsbtcusdBTCUSDCBTCUSDTNewsxbtusd

Software Giant Palantir Joins the Bitcoin Race, Hints At Gigantic BTC Buy

What do Tesla, Time magazine and WeWork have in common? All companies have, in the last three months, announced either a significant investment in cryptocurrency or a newfound acceptance of it as a means of payment from customers. The most…