Regulator takes action against two B.C. cryptocurrency platforms

At issue are the Nanaimo-based ezBtc.ca and the Vancouver-based Einstein Exchange

Bitcoin buttons are displayed on a table at the Inside Bitcoins conference in Berlin on Feb. 12, 2014. THE CANADIAN PRESS/AP, Frank Jordans

Bitcoin buttons are displayed on a table at the Inside Bitcoins conference in Berlin on Feb. 12, 2014. THE CANADIAN PRESS/AP, Frank Jordans

The B.C. Securities Commission is investigating complaints against cryptocurrency exchange ezBtc and taking court action to protect customers of crypto-asset trading platform Einstein Exchange — as the websites for both exchanges have stopped loading.

A spokeswoman for the regulator says in an e-mail that it has received several complaints about Nanaimo-based ezBtc.ca, and is commenting publicly because “customer assets are at risk.”

Separately, the commission said Monday that it has received numerous complaints about customers being unable to access their assets on the Vancouver-based Einstein Exchange. A lawyer representing the platform told the commission on Oct. 31 that it planned to shut down within 30 to 60 days “due to a lack of profit.”

The provincial regulator added that on Nov. 1 it applied to the Supreme Court for an order to appoint an interim receiver to protect any assets of Einstein Exchange. The court granted the application and appointed Grant Thornton LLP as interim receiver.

The news comes after the demise of Vancouver-based exchange QuadrigaCX, which sought creditor protection after its founder and chief executive died suddenly late last year leaving its employees unable to locate millions of dollars worth of cryptocurrency.

READ MORE: Widow of QuadrigaCX founder to hand over most assets in settlement

The commission says that to date, no crypto-asset trading platforms have been authorized to operate by the provincial regulator, and do not have the same investor protections as authorized companies.

READ MORE: Cryptocurrency exchange CEO who suddenly died leaves Kelowna house in will

The Canadian Press

Like us on Facebook and follow us on Twitter

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Christmas decorations at Gus' Pub. (Opal Tesch photo)
Gus’ Bar and Grill gets into the holiday spirit

Gus’ Bar and Grill has been a fixture in Port McNeill since… Continue reading

Mike Aldersey, the Port McNeill base manager for West Coast Helicopters has been awarded the prestigious Agar/Stringer Award by the Helicopter Association of Canada. (Submitted photo)
Vancouver Island pilot receives coveted helicopter industry award

Port McNeill based Mike Aldersey is the recipient of the 2o2o Agar/Stringer Award given out to select few Canadians

The notice at Port Hardy Secondary School’s athletic track. (Zoe Ducklow photo)
SD85 school tracks closed to the public during school hours

To keep P.E. classes safe, the restriction went into effect Nov. 30

Shoebox Project logo
Donate now to the Campbell River/North Island Shoebox Project

There is just over a week to go in The Campbell River/North Island Shoebox Project campaign

The entrance to the Port Hardy aquatic centre. (Tyson Whitney - North Island Gazette)
Port Hardy council will decide fate of pool revitalization project at next meeting

The pool revitalization project will be on the agenda at the Dec. 8 meeting for council to vote on.

Provincial health officer Dr. Bonnie Henry updates B.C.’s coronavirus situation at the legislature, Nov. 30, 2020. (B.C. government)
Hockey team brought COVID-19 back from Alberta, B.C. doctor says

Dr. Bonnie Henry pleads for out-of-province travel to stop

Victoria’s Royal Jubilee Hospital took in two COVID-19 patients from Northern Health as part of a provincial agreement. (Black Press Media file photo)
Victoria hospital takes in two COVID-19 patients from Northern Health

Royal Jubilee Hospital takes patients as part of provincial transport network

B.C. Premier John Horgan on a conference call with religious leaders from his B.C. legislature office, Nov. 18, 2020, informing them in-person church services are off until further notice. (B.C. government)
B.C. tourism relief coming soon, Premier John Horgan says

Industry leaders to report on their urgent needs next week

Natalie MacMaster and Donnell Leahy are inviting audiences into their home for ‘A Celtic Family Christmas’. (Submitted)
Natalie MacMaster coming to you through Cowichan Performing Arts Centre

Here’s your chance to enjoy the famed fiddler in an online show with her husband Donnell Leahy.

An RCMP cruiser looks on as a military search and rescue helicopter winds down near Bridesville, B.C. Tuesday, Dec. 1. Photo courtesy of RCMP Cpl. Jesse O’Donaghey
B.C. Mountie, suspect airlifted by Canadian Armed Forces from ravine after foot chase

Military aircraft were dispatched from Comox, B.C., say RCMP

An 18-year old male southern resident killer whale, J34, is stranded near Sechelt in 2016. A postmortem examination suggests he died from trauma consistent with a vessel strike. (Photo supplied by Paul Cottrell, Fisheries and Oceans Canada)
“We can do better” — humans the leading cause of orca deaths: study

B.C. research reveals multitude of human and environmental threats affecting killer whales

A logo for Netflix on a remote control is seen in Portland, Ore.,Aug. 13, 2020. Experts in taxation and media say a plan announced Monday by the government will ultimately add to the cost of digital services and goods sold by foreign companies. THE CANADIAN PRESS/AP-Jenny Kane
‘Netflix tax’ for digital media likely to raise prices for consumers, experts say

The government says Canadian companies already collect those taxes when they make digital sales

Most Read