September 23, 2020

$ 2 billion lost during the hacking of Mt.Gox can be returned to their owners

$ 2 billion lost during the hacking of Mt.Gox can be returned to their owners

According to the Moscow ZP Legal College of Lawyers, the company was able to identify Russian citizens, who received BTC stolen as a result of hacking Mt.Gox in 2014.

According to representatives of the legal office,persons who illegally seized the funds of the Mt.Gox exchange may enter into a deal with law enforcement agencies and return the funds to the creditors of the exchange. While the creditors of the defunct Mt.Gox exchange are waiting for the Japanese courts to decide their fate, the Moscow law firm offers a different solution to the problem.

According to lenders Mt.Gox, ZP Legal contacted them about the possibility of recovering almost a quarter of the missing 850,000 BTC stolen during the hacking of the exchange in 2014. (At the time of the theft, coins cost more than $ 450 million and today $ 8.5 billion)

According to ZP Legal estimates, from 170,000 to 200,000 of these coins can be returned through the prosecution of Russian citizens who seized the stolen funds.

In exchange for help, the law firm willcharge lenders from 50 to 75 percent of the refunded amount, as well as the hourly rate. However, ZP Legal only announced payment for services in the event of a successful recovery.

Alexander Zheleznikov, Managing Partner, ZPLegal (ZP stands for Zheleznikov & Partners), claims that part of the money stolen from Mt.Gox could go to the BTC-e cryptocurrency exchange. The alleged BTC-e operator, Russian citizen Alexander Vinnik, was arrested in July 2017 in Greece and is being extradited to the United States, Russia or France.

Zheleznikov believes that the criminal case againstVinnik, who is also being investigated by the Russian authorities, could be expedited if Mt.Gox lenders become victims and help law enforcement establish a link between Mt.Gox, BTC-e and BTC-e's successor, the WEX exchange.

We plan to represent the interests of Mt. lenders.Gox and tell the Russian law enforcement agencies all the information to establish a connection between the stolen funds with Mt.Gox and the BTC-e and WEX exchanges using the Vinnik case, Zheleznikov said. He added:

If our assumptions are true, [thieves] will ultimatelyeventually admit their guilt, and, in order to ease the punishment, may offer to return part of the funds. If they do not, they will be found guilty by law enforcement agencies, and then it will be possible to sue them for damage.

Zheleznikov said his company turned to lawyers representing the interests of Mt.Gox lenders, and then to the lenders themselves through the Russian embassy in Tokyo.

Andy Pug, founder and former coordinator of the largest lender group, Mt. Gox Legal (MGL) said it was first contacted on February 22.

After this, there was a long break, but more recently they contacted me and asked me to help them with the process of checking the victims of theft, and contacts for contacting them.

According to ZP Legal, she managed to return $ 1 million to customers of the Russian crypto exchange WEX.

Zheleznikov did not name the amount, but confirmed that his company worked with two people whose money was frozen on WEX. He refused to name any of the participants in this transaction.