- Crypto Capital may be payment processor for Quadriga in the final quarter of its operation
- The company is currently under the investigation of the U.S. Department of Justice
- Miller Thomason looking for answers related to Crypto capital from Quadriga victims
Miller Thomason LLP, the law firm appointed as Representative Counsel on behalf of approximately 115,000 users affected by the shutdown of the Canadian cryptocurrency exchange QuadrigaCX is looking for more information, especially related to Crypto Capital.
The Representative Counsel says in its notice that Crypto Capital, currently being investigated by the U.S. Department of Justice, might be the payment processor for the exchange in the final quarter of its operation.
Miller Thomson has put a bunch of questions to Quadriga victims including if they have received any emails from Crypto Capital or its representatives regarding Quadriga funds and any financial statements showing interaction with its Polish, Portuguese, and the UK bank accounts.
Crypto Capital in the center of it all
The bank accounts of Crypto Capital amounting to $350 million have been seized by Polish authorities in an investigation related to alleged laundered drug cartel funds.
Crypto Capital had been found as the common thread between Quadriga, Bitfinex, and other troubled exchanges. Crypto exchange Bitfinex aid that it was defrauded by the company. Quadriga founder Gerry Cotten also had dealings with the Panamanian firm Crypto Capital Corp. Cotten told Bloomberg in May 2018,
“Companies such as Crypto Capital have proven useful in the sense that they operate as a payment processor that is able to receive transfers from clients, store funds and then process outgoing transactions as well.”
“Crypto Capital is one such company that we have/do use. In general it works well, though there are occasionally hiccups.”
Crypto Capital, popular with traders employing arbitrage trade strategies apparently used a few banks to process payments, according to the understanding of Cotten who said “it is very difficult to obtain a bank account for cryptocurrency exchanges” in Canada.