BitGrail Decides ‘not’ To Provide Compensation To Its Victims

Steve Anderrson
Steve Anderson is an Australian crypto enthusiast. He is a specialist in management and trading for over 5 years. Steve has worked as a crypto trader, he loves learning about decentralisation, understanding the true potential of the blockchain. Join the official channel of thecoinrepublic, For the latest news updates: https://t.me/thecoinrepublic
  • A popular Italian Cryptocurrency exchange BitGrail issue a public statement.
  • The liquidators have appropriately calculated the claim amounts of various applicants who were able to back up their claim with original records and proofs.
  • To modify their applications and make a request to receive such compensations in Euro Denominations.

Per the recent report, a popular Italian Cryptocurrency exchange BitGrail issue a public statement. The statement released by its administrators read that the Company is not intending to accept any applications to compensate for the loss suffered in Cryptocurrencies with regard to the inoperative platform.

However, it is to be noted that the Bank Trustees have provided a boon to the users of the platform, who had initially filed applications to retrieve the Nano Coins ( which was reportedly stolen from the system).

To modify their applications and make a request to receive such compensations in Euro Denominations. In addition to that, the former investors or creditors are given a deadline, which extends to March 6 to modify their claims. This, thus, provides sufficient time and opportunity to recuperate their affected assets.   

The Company was notably brought to an Italian court during 2018, whereby the court decided that it shall seize the remaining assets of the Company, which was managed by one of its special administrators. As an extension to such a ruling, it also ordered that the activities of the platform should be suspended until further orders.  

With regard to the number of assets that are missing, though, there wasn’t any specific data. It was estimated to be around 80 percent of the overall aggregate amount, which deposited to it by its users and holders. A significant part of this estimation belonged to the customers of the platform. 

It was commented by administrators of the platform that existed a notable change in the present value of their cryptocurrency. The amount that was deposited by its users at the moment it was purchased or the platform ceased to stop.

Adding to that, it was proposed by the administrators that, a discussion shall be made with the parent company to determine evaluation criteria favoring the credit balances of its users.

Accepted and Denied Applicants

Also, the liquidators have appropriately calculated the claim amounts of various applicants who were able to back up their claim with original records and proofs. The other applications were either rejected for not having sufficient to prove or absence of Identification documents.

These creditors, whether their claims are rejected or approved, are capable of representing the claims of other creditors. The liquidators have assigned various other reasons for rejecting the claims of such creditors, including a zero balance account or missing accounts. 

The platform was hacked of an amount, which was estimated to be around $170 Million in Nano. The issue was not settled for an unreasonable period of time since Nano and Firano blamed each other for the cause of such an incident.

The Nano team denied the accusations made against them by Firano, with regard to such hacking stating that there existed no cause in their system for such vulnerabilities.

In fact, Nano claimed the platform possessed something known as the XRB’s which caused the vulnerabilities. However, the team agreed to compensate for the financial expenses with regard to the legal proceedings of the victim.

On an additional note, it is to emphasize that, though there existed sufficient evidence to prove the mismanagement actions of Firano, he refused to admit the cause of the vulnerability. One thing led to another. Nano became the first firm in the crypto market to participate in a legal proceeding initiated by its investors.

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