Following a claim that 13,000 bitcoins & 300,000 litecoins were stolen by a hacker, a class action lawsuit and its subsequent insolvency, Cryptsy has now revealed a “reward contract” with ‘Cryptcracker’ to retrieve the stolen coins in exchange for a ‘base’ reward of 1750 BTC, approx. $725,000.
In a bizarre twist to an already contentious saga surrounding controversial cryptocurrency Cryptsy, CEO Paul Vernon or ‘BigVern’ has revealed a reward contract between Cryptsy and ‘Cryptcracker’ that will see the latter get a reward in exchange for recovering coins that –according to the exchange– were stolen from Cryptsy.
Cryptcracker, who is shown to potentially and benevolently return the 13,000 stolen bitcoin has agreed for the base reward at 13.4% of the recovered bitcoins, even if the recovered sum is lesser than the total ‘stolen’ sum.
An additional 250 BTC is reserved as a reward for the successful recovery of 247,000 Litecoin, although this is deemed as “secondary to the recovery of the [stolen] Bitcoin.”
One of the provisions from the reward contract reads:
The recovery of the Bitcoin is the primary concern so it will receive attention ahead of the recovery of other coins. The recovered Bitcoin is to be sent to First Party [Cryptsy] owned bitcoin address: 1Mr4WJMQCXs9WtvHTwafQnXbtSXCMc9eSr
Within a maximum of 3 hours of receiving the Bitcoin, the First Party is to send 1750 Bitcoin or %13.46154 of the recovered funds to Second Party [Cryptcracker] owned Bitcoin address: 1H9utcaSkwstmP4qFgoE3HyBjkM1oeFTLK
A screenshot of the contact can be found below, while the entirety of the contract can be found here [PDF].
Even at first glance, the digital signature by Cryptcracker, simply shown as ‘wrecker’ is easily spotted as a/ copy-and-paste job, while the signature representing Cryptsy is revealed to be Paul Vernon’s.
Furthermore, the ‘contract’ claims that the agreement is subject to the laws and regulations of the state of Florida. There is no confirmation yet as to whether the contract is, in fact, bound by laws in Florida or if it would be admissible in a court in Florida.
Still, if the lost coins can be recovered, they will be back in Cryptsy’s possession which could provide some welcome relief to Cryptsy users who would then get their money back.
Featured image from Shutterstock.
Last modified: March 4, 2021 4:47 PM