IDAX, the China-based exchange was recently reported to be subject to potential theft by none other than its CEO. The CEO of the exchange is said to have been missing from a couple of days and he is being accused of theft of the private keys which enables access to funds of the customers
IDAX: Another Victim of Crypto Robbery
This latest event tends to share some similarities with the incident that happened earlier this year which involved the Canada-based exchange Quadriga CX that led to a loss of about $200 million crypto funds. As Gerald Cotton, the founder of Quadriga died a suspicious death whilst he was in India.
Following this unfortunate event, this fact came into light that the CEO of Quadriga was the only individual who had access to the private keys that authorized access to the funds. However, after this revelation, Quadriga customers turned to Cotten’s widow who claimed not to know about the private keys, so a class-action suit was filed.
Following the grim turn of events, it was suspected that the CEO might have been involved in embezzlement of the funds of customers prior to his unexpected death.
In the case of IDAX, the CEO is not dead but missing along with the customer’s funds. Presently, the staff of the exchange and the executive can neither claim to have access to the funds nor they can decipher the location where it is being held. So, due to these unfortunate circumstances; withdrawals and future deposits have been halted.
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