Quadrigacx Cold Wallet Was Stored in a Safety Deposit Box

Quadrigacx Cold Wallet Was Stored in a Safety Deposit Box

In a 2014 appearance on the True Bromance Podcast, Gerry Cotten, the late CEO of embattled Canadian cryptocurrency exchange Quadrigacx, made comments indicating that the exchange was storing customer funds using paper wallets. Cotten also compared losing the private keys for a bitcoin wallet to burning cash.


Cotten Discusses Cryptocurrency Custody During 2014 Podcast

With Gerry Cotten having supposedly comprised the sole individual tasked with managing Quadrigacxs keys, the roughly $195 million in funds owed to 115,000 of the exchanges customers has dominated the cryptocurrency news cycle in recent weeks.

While speaking on a podcast published March 12, 2014, Cotten stated that the exchange held its customers funds offline using paper wallets. He said: At Quadrigacx, were obviously holding a bunch of bitcoins that belong to other people who have put them onto our exchange. So what we do is we actually store them offline in paper wallets, in our banks vault in a safety deposit box, because thats the best way to keep the coins secure.


Quadrigacx Keys Might Be Held in Safety Deposit Box

Citing the benefits of paper wallets, Cotten continued: Essentially we put a bunch of paper wallets into the safety deposit box, remember the addresses of them. So we just send money to them, we dont need to go back to the bank every time we want to put money into it. We just send money from our Bitcoin app directly to those paper wallets, and keep it safe that way.

Cotten asserted that the best way to store ones private key is to print it off, store it offline in your safety deposit box, vault, whatever, and then take the public key, which is your address, and use that to send money to it. So that way you can never have your bitcoin stolen, unless someone, like, breaks into the bank, steals your safety deposit box and gets into your private key and so forth.


Losing Private Key Akin to Burning Cash

Quadrigacxs cofounder compared losing the private key to bitcoin wallet to burning cash, adding Even the U.S. government, with the biggest computers in the world, could not retrieve those coins if youve lost the private key. Its impossible to retrieve those.


At Bitcoin.com theres a bunch of free helpful services. For instance, have you seen our Tools page? You can even lookup the exchange rate for a transaction in the past. Or calculate the value of your current holdings. Or create a paper wallet. And much more.

The post Quadrigacx Cold Wallet Was Stored in a Safety Deposit Box appeared first on Bitcoin News.

20.02.2019 / 16:15 88
QuadrigaCX Imbroglio Continues: Cotten Mentioned Bitcoin Key Loss In 2014 QuadrigaCX Imbroglio Continues: Cotten
Since NewsBTCs last updates on the QuadrigaCX situation, little knowledge has been garnered about the current whereabouts or legitimacy of the
Quadrigacx Saga: Founders Widow Owns $5.6m Properties, Hospital Confirms Cottens Death Quadrigacx Saga: Founders Widow Owns
Troubled Canadian cryptocurrency exchange Quadrigacx may be newly armed with a 30-day stay from creditors, following the Feb. 5 bankruptcy hearing,
Report Claims Quadrigacx Never Held More Than 1,000 BTC Report Claims Quadrigacx Never Held
The drama surrounding Canadian cryptocurrency exchange Quadrigacx continues to intensify, with a recent report by Zernoncense claiming that the
Quadriga CEO Death  Funds Moved From Lost Cold Wallets Quadriga CEO Death Funds Moved From
A company with legal problems; a mysterious death; missing customer funds. The QuadrigaCX story could have come straight from the pen of a hack
Tidbits: Kraken CEO Offers Help in Quadrigacx Case, Iranian Bitcoiner Learns Expensive Lesson Tidbits: Kraken CEO Offers Help in
Tidbits is a roundup of talking points from across the cryptosphere. In this edition, Jesse Powell offers to help the Canadian police investigate the
$190 Million in Crypto Possibly Lost at Canadas QuadrigaCX Bitcoin (BTC) Exchange $190 Million in Crypto Possibly Lost at
One of Canadas biggest Bitcoin (BTC) exchange QuadrigaCX has possibly lost $190 Million in cryptocurrencies after its founder and CEO died
Comments (0)
Add a comment
Comment on