Cryptopia Allocates $225 Million to Account Holders

Cryptopia Distributes $225 Million to Account Holders

The New Zealand-based cryptocurrency exchange, Cryptopia, has initiated the distribution of funds to users affected by its bankruptcy. Grant Thornton, the appointed liquidator, has announced that $225 million in digital assets will be returned to account holders.

Distribution Process

Over 10,000 account holders holding Bitcoin and Dogecoin have received initial distributions. In the past 48 hours, cryptocurrency valued at approximately $225 million USD has been returned to users.

Bankruptcy and Cyberattack

Cryptopia's bankruptcy was prompted by a severe cyberattack in January 2019, resulting in substantial financial losses. The filing for bankruptcy was intended to protect the interests of customers, employees, and stakeholders during this difficult period.

Distribution Highlights

• Over 10,000 account holders received Bitcoin and Dogecoin distributions.
• Total distribution amount: $225 million USD.
• Adherence to a 2020 judicial ruling classifying digital assets as property during liquidation.
• Distribution process overseen by liquidators to ensure transparency.

This initiative represents a significant step towards restitution for investors affected by the cyber theft. It allows them to recover a portion of their assets after a period of uncertainty.