Creditors of bankruptcy Canadian cryptocurrency exchange QuadrigaCX will receive 13% of their total claims as part of an "interim dividend."
According to a May 12 notice to creditors from QuadrigaCX's bankruptcy trustee, Ernst & Young (EY), each “proved creditor will receive 13.094156% of their proven claim, minus the amount under the BIA. ately 87.0% of the funds currently held by the trustee. The remaining funds will be used as a reserve for future administration-related expenses. The final distribution will be made at a later date," EY added.
The notice states that 17,648 creditors have filed claims worth C$305.6 million (US$223 million). According to EY, 15,356 creditors owed between $0 and $10,000, while 1,784 creditors owed between $10,000 and $49,9 99. Only 15 creditors were owed more than $1 million in taxes, and the Canada Revenue Agency owed $11.7 million in taxes from 2016 to 2018.
While former users of the exchange mostly held crypto assets when the company collapsed in 2019, as of April 15 of that year, their claimed holdings had been converted to the monetary value of the assets. If someone holds 1 bitcoin, At the time, they would end up getting back C$6,739 ($4,933), 13 percent of which would soon be paid out as an interim dividend. It is not yet clear when the interim dividend will be paid; however, Miller Thomson, a law firm representing creditors, said on May 8 that this would happen in the next few weeks.
QuadrigaCX was one of Canada's largest cryptocurrency exchanges before it went bankrupt in early 2019. Not long after, its co-founder and CEO Gerald Cotten died in India, taking the private keys of QuadrigaCX's offline storage system to the gr ave.
