Update for Cryptopia account holders from the Liquidators

We understand that Cryptopia stakeholders are keen to hear what progress has been made on the
liquidation process since appointment. Updates from the Liquidators can be found at:

25 October 2019
20 August 2019
3 July 2019

Legal directions

The liquidators have applied to the High Court of New Zealand for directions regarding the legal status
of customers’ holdings and the ability to hold Cryptocurrency on trust. The Liquidators have asked the
Court to appoint two Queen’s Counsel for these proceedings.

The Court has approved the Queen’s Counsel appointment. The Court orders in regards to this can be
found at the link below:

1. Court Orders as to Representation and service

These should be read in conjunction with the following documents;

2. Notice to Creditors Re Application

3. Originating application with hearing date
4. Affidavit of David Ian Ruscoe
5. Interlocutory application
6. Memorandum of counsel

Where to go for updates

We appreciate that Cryptopia customers want to know where the process is at and what it means for
them and understand the concern they feel. While we are working as fast as we can to resolve the
situation as we do not have answers to many customer questions at this stage.

Given the volume of correspondence we regularly receive, we cannot reply to individual

correspondence. However, we will continue to provide updates via the Cryptopia website, Twitter and
Facebook pages.

First liquidators’ report on Cryptopia released today

31 May 2019

The liquidators for Christchurch-based crypto exchange, Cryptopia released their first report into the
company’s affairs today. A copy of the report can be found here.

Liquidators David Ruscoe and Russell Moore have taken steps to secure the company’s assets and
have filed a petition in the Bankruptcy Court in the Southern District of New York to preserve the
Cryptopia information stored on servers in the US.
The liquidators are continuing the process, begun before the company was placed in liquidation, of
recovering crypto-assets compromised from the hack of Cryptopia’s exchange.

The liquidators, this week gained a Court Order from the New Zealand Courts allowing them to utilise
certain crypto-assets to recover, preserve and protect assets. At this stage of the investigation the
liquidators cannot estimate a date for when the liquidation will be completed. “As liquidators we have a
responsibility to protect and preserve crypto-asset holdings for the benefit of those entitled to them,”
says Mr Moore. “We are aware of and understand the frustration of Cryptopia’s customers. As there is
no legal precedent on crypto assets in New Zealand and worldwide, the distribution of those assets and
the overall conduct of the liquidation will require significant direction from the New Zealand Courts.”
There will be no further comment from the liquidators at this stage.

Update for Cryptopia account holders

27 May 2019

On Friday 24 May 2019, we filed a petition in the Bankruptcy Court in the Southern District of New York
(SDNY) seeking recognition of the New Zealand liquidation in the USA, and we also applied for urgent
interim relief. We took these steps to preserve the Cryptopia information that is stored and hosted on
servers with an Arizona based business.

What does the interim order mean?

The interim order preserves the Cryptopia data, which includes a SQL database containing all account
holders’ individual holdings of cryptocurrencies and the account holder contact details. Without this
information, reconciling individual holdings with the currencies held by Cryptopia will be impossible.

What happens next?

Nuestro objetivo es proteger y preservar esas tenencias en beneficio de quienes tienen derecho a
ellas. Estamos buscando asesoramiento legal sobre nuestras responsabilidades en relación con las
distintas tenencias de divisas.

¿Puedo recuperar mis tokens?

Esperamos que el proceso de recuperación de datos y la determinación de cómo hacer distribuciones

a los titulares de cuentas llevará al menos algunos meses. Entendemos que este retraso será
frustrante para los titulares de cuentas. Por esa razón, estamos trabajando para resolver estos
problemas tan pronto como sea razonablemente posible.

¿Cómo obtengo información sobre el progreso?

Mantendremos informados a los titulares de cuentas sobre los desarrollos a través de publicaciones en
los sitios web de Grant Thornton Nueva Zelanda y Cryptopia. Puede descargar una copia de la orden
del Tribunal de Bancarrota de SDNY aquí , según lo indique dicho Tribunal.

presione soltar
15/05/2019

David Ruscoe y Russell Moore de Grant Thornton Nueva Zelanda fueron nombrados liquidadores de
Cryptopia ayer

A pesar de los esfuerzos de la administración para reducir los costos y devolver el negocio a la
rentabilidad, se decidió que el nombramiento de liquidadores era, en el mejor interés de los clientes, el
personal y otras partes interesadas.

Los liquidadores se centran en asegurar los activos en beneficio de todos los interesados. Mientras se
llevan a cabo este proceso y las investigaciones, se suspende la negociación en el intercambio.

"Dadas las complejidades involucradas, esperamos que la investigación tome meses en lugar de
semanas".

Los liquidadores también están trabajando con expertos independientes y las autoridades relevantes
con respecto a las obligaciones de la compañía.

Grant Thornton se comunicará con todos los clientes y proveedores sobre su nombramiento en los
próximos días.

Para consultas adicionales, envíe un correo electrónico a liquidation@cryptopia.co.nz

Preguntas frecuentes

Consulte nuestras preguntas frecuentes en https://support.cryptopia.co.nz/csm?

id=kb_article&sys_id=20d84d54db69778084ed147a3a9619bc