Shorter Reads

Crypto exchanges ordered to help trace stolen assets

A recent High Court decision has signalled hope for the victims of crypto fraud.

1 minute read

Published 2 December 2022

Authors

Share

Key information

The claimant company lost over $10m in cryptoassets to hackers who had obtained access to its systems. Although an expert was able to trace the stolen crypto (using proprietary software and public records) to various wallet addresses, the identities of the wallet holders remained a mystery.

The High Court ordered that a number of overseas based cryptocurrency exchanges should assist the victim to identify fraudsters by providing the following information in relation to accounts linked to the suspect wallets:

– the name in which the accounts are held;

– all ‘Know Your Customer’ information and documents provided in had respect of the accounts; and

– any other information and documents held in relation to the accounts that could identify the holders of the accounts, including email addresses, residential addresses, phone numbers and bank account details.

The exchanges in question (Bitflyer, Binance, Payward, Luno, Coinbase and Huobi) were also ordered to provide explanations, to the best of their knowledge, about what had become of the stolen cryptoassets.

It is hoped that this information will ultimately assist the claimant company to recover its assets via further Court proceedings in the jurisdiction/s where they are located.

If you would like specific advice about how the Court’s decision might impact your own position, please contact Robin Henry or Jean-Martin Louw for a confidential discussion.

The full text of the judgment is available here.

Related latest updates
PREV NEXT

Related content

Arrow Back to Insights

Shorter Reads

Crypto exchanges ordered to help trace stolen assets

A recent High Court decision has signalled hope for the victims of crypto fraud.

Published 2 December 2022

Associated sectors / services

  • Banking & financial disputes
  • Commercial Contracts
  • digital
  • FinTech

Authors

The claimant company lost over $10m in cryptoassets to hackers who had obtained access to its systems. Although an expert was able to trace the stolen crypto (using proprietary software and public records) to various wallet addresses, the identities of the wallet holders remained a mystery.

The High Court ordered that a number of overseas based cryptocurrency exchanges should assist the victim to identify fraudsters by providing the following information in relation to accounts linked to the suspect wallets:

– the name in which the accounts are held;

– all ‘Know Your Customer’ information and documents provided in had respect of the accounts; and

– any other information and documents held in relation to the accounts that could identify the holders of the accounts, including email addresses, residential addresses, phone numbers and bank account details.

The exchanges in question (Bitflyer, Binance, Payward, Luno, Coinbase and Huobi) were also ordered to provide explanations, to the best of their knowledge, about what had become of the stolen cryptoassets.

It is hoped that this information will ultimately assist the claimant company to recover its assets via further Court proceedings in the jurisdiction/s where they are located.

If you would like specific advice about how the Court’s decision might impact your own position, please contact Robin Henry or Jean-Martin Louw for a confidential discussion.

The full text of the judgment is available here.

Associated sectors / services

  • Banking & financial disputes
  • Commercial Contracts
  • digital
  • FinTech

Authors

Need some more information? Make an enquiry below.

    Subscribe

    Please add your details and your areas of interest below

    Specialist sectors:

    Legal services:

    Other information:

    Jurisdictions of interest to you (other than UK):

    Article contributors

    Enjoy reading our articles? why not subscribe to notifications so you’ll never miss one?

    Subscribe to our articles

    Message us on WhatsApp (calling not available)

    Please note that Collyer Bristow provides this service during office hours for general information and enquiries only and that no legal or other professional advice will be provided over the WhatsApp platform. Please also note that if you choose to use this platform your personal data is likely to be processed outside the UK and EEA, including in the US. Appropriate legal or other professional opinion should be taken before taking or omitting to take any action in respect of any specific problem. Collyer Bristow LLP accepts no liability for any loss or damage which may arise from reliance on information provided. All information will be deleted immediately upon completion of a conversation.

    I accept Close

    Close
    Scroll up
    Get In Touch Print this page
    Collyer Bristow
    ExpandNeed a hand?Toggle

    < Back to menu

    I have an issue and need your help

    Scroll to see our A-Z list of expertise

    Get in touch

    Get in touch using our form below.