TagPaul Vernon

Plaintiffs Reach Settlement With One Cryptsy Defendant


Plaintiffs seeking to recover losses from Cryptsy, the defunct, Florida-based cryptocurrency exchange that claimed to have lost more than $5 million due to theft, have reached a settlement with one of the defendants, although the principal defendant remains at large, according to a court filing. The plaintiffs reached a settlement in excess of $1 million from defendant Lorie Ann Nettles...

Investigation into Bitcoin Exchange Cryptsy Issues Subpoenas, CEO Remains Missing

Investigation bitcoin exchange

The court-appointed receiver for Cryptsy, the defunct, Florida-based cryptocurrency exchange that claims to have lost more than $5 million in investors’ funds to theft, has filed a report that identifies some of the banks and exchanges the defendants used in operating the scheme that left hundreds of investors without access to their accounts. The receiver, James D. Sallah, an attorney for Miami...

Cryptsy Update: Court Freezes Bitcoin Exchange’s Assets, Appoints Receiver


A federal court has appointed a receiver for Cryptsy, the cryptocurrency exchange that claims to have lost $5 million in funds to theft. In response to the lawsuit by Cryptsy clients seeking to recover their funds, the U.S. District Court Southern District of Florida appointed James D. Sallah, Esq. as the receiver and given him control of Cryptsy’s assets. The court has taken possession of...

Cryptsy Reveals Stolen Bitcoin Recovery Reward ‘Contract’


 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...

Cryptsy Lawsuit Update – Vernon’s Ex-Wife Potentially Involved With Lost Funds


In what has been one strange and cryptic piece of news after another about the troubles that Cryptsy and its founder have been surrounded by, an update of the class action lawsuit against them has been released and it expands the subjects of whom is liable for the lost assets over the past year and a half. In what seems to be a mixture of both information compiled from Cryptsy’s last updates of...

Cryptsy: Mt. Gox Junior?


This writer has received more complaints about Cryptsy since his last story on the subject than he has billing notices. Seriously. Some of them were messages of support, some were further complaints. Most of them had a common theme: Cryptsy won’t let the customer withdraw his or her funds. Within the last 24 hours, Cryptsy had some serious downtime. Their message was simple and, at this...

PSA: Cryptsy Down, Claiming DDoS


For nearly twelve hours, Cryptsy.com, an elder “alt coin” exchange which has been the subject of semi-regular community outrage for various reasons, has been inaccessible. According to one of the exchange’s proprietors, Paul Vernon, the site has suffered a DDoS attack not unlike the one CCN has been experiencing as of late. The difference is that CCN has managed to come back online in a...

Cryptsy Needs to Get Away From Paycoin – Now


“The poor and the needy are selfish and greedy.” -The Smiths Oh Cryptsy, you’ve done it again. This time it’s not losing customer deposits for months, robbing them of proper exchange rates, hiding customer deposits without telling them, or locking up large sums of money. No one has (yet) sued you over this one. No, this time you’ve gone and tied your future to the future of...