Quadriga CX: Man Suffers Painful $500,000 Crypto Loss as Trader Dies With Password

Quadriga CX: Man Suffers $500,000 Crypto Loss as Trader Dies With Password

  • An American man, Tong Zuo has recounted the tales of him losing about $500,000 invested in Quadriga CX in 2019 when the Co-founder of the company died 
  • Gerald Cotten who was the only one with the password to access customers’ crypto funds died mysteriously 
  • As a result of Cotten’s passing, an estimated $250 million belonging to 76,000 investors has remained lost till today

Imagine losing your entire life savings because of a single wrong move. Sounds disastrous right? But it happened to a American man, Tong Zour.

33-year-old Zou recently recounted in a Netflix documentary how he had his life savings wiped out by making the single mistake of saving in a cryptocurrency exchange.

Mr. Zou put all his money into Canada’s biggest cryptocurrency exchange, Quadriga CX, whose Co-founder appears to have died with the password to clients’ funds.

Gerald Cotten, one of the founders of Quadriga CX, mysteriously died at the age of 30, causing millions in losses to investors but there are speculations that he may still be alive.

It was later discovered that Mr. Cotten had been operating a Ponzi scheme before his death, something that investigators have labeled “an old-fashioned fraud wrapped in modern technology.”

Gerald Cotten
Gerald Cotten

The case is being explored for a Netflix documentary and Mr. Zou is one of those to appear in the documentary.

Read also: $615 Million Ronin Network Hack and 4 Mega Crypto Crimes of 2022

According to Zou, he was in huge debt in 2018 after taking out about $80,000 to buy Bitcoin but the value of the cryptocurrency crashed that year.

The software engineer then sold his San Francisco apartment to clear his debt and moved to Vancouver in Canada. Zou wanted to transfer about $400,000 from the apartment sales fund to Canada but was looking to avoid back charges, so he chose to use the Quadriga CX exchange.

Quadriga CX

Zou bought Bitcoin with the money, sold it on the exchange, and was expecting it in his Canadian bank account.  But after three months there was still no sign of the money then he got to find out about the passing of the keys’ holder, Gerald Cotten.

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