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Defunct Atlanta exchange still owes clients after four years of its closure

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TL;DR Breakdown
  • Four years after its closure, an Atlanta-based cryptocurrency exchange still owes clients.
  • The Georgia Department of Banking and Finance imposed a cease and desist letter to CampBX in 2018 for getting involved in financial transactions without a license.

Users of a crypto exchange in Atlanta that abruptly closed down are still waiting for their bitcoin to be returned four years after the closure. In what has been characterized as an industry first, a federal court verdict ruled in favor of one of the dissatisfied customers shows some sign of relief to the affected customers.

According to Daniels, one of the complainants,  the company completely withheld their properties as well as ignored to give any feedback to their inquiries. Daniels says that this was the main reason that pushed them to file the first bitcoin case in the federal court to get what belongs to them.

CampBX exchange had attracted more than 70,000 customers

Before its closure, the Atlanta-based crypto exchange, CampBX, had attracted more than 70,000 customers to its platform. This shows that the platform had started to slowly gain popularity among the customers before suffering from regulations from the authorities.

Attorney John Richard, a member of the American Board of Trial Advocates, noted that there are many people who have not received their crypto from the exchange up to this point.

The exchange’s founder, Keyur Mithwala, through an email, however, told the media that “the large majority” of clients did receive the entire balances of their bitcoin and USD. Additionally, he made it clear that the company did not refuse to willfully pay back its customers. In addition, he pointed out that only less than 200 customers have not been refunded.

On the other hand, Richard contradicted Mithwala’s statement, saying that there is no available evidence that the exchange returned the bitcoin to its majority of users. Additionally, Richard pointed out that only one customer that he is aware of receiving the bitcoin.

The Georgia Department of Banking and Finance imposed a cease and desist letter to CampBX in 2018 for getting involved in financial transactions without a license.

The exchange terminated its activities in compliance with the order, but the issue of customers’ funds remains unresolved today.

Benson Mawira

Benson Mawira

Benson Mawira is a content writer with aesthetic expertise in different types of SEO-based articles of niches related to technology. I write news on cryptos, NFTs, and also Blockchain. I am to provide high-quality and plagiarism-free work to clients.

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