Regulator takes action against two B.C. cryptocurrency platforms

At issue are the Nanaimo-based ezBtc.ca and the Vancouver-based Einstein Exchange

Bitcoin buttons are displayed on a table at the Inside Bitcoins conference in Berlin on Feb. 12, 2014. THE CANADIAN PRESS/AP, Frank Jordans

Bitcoin buttons are displayed on a table at the Inside Bitcoins conference in Berlin on Feb. 12, 2014. THE CANADIAN PRESS/AP, Frank Jordans

The B.C. Securities Commission is investigating complaints against cryptocurrency exchange ezBtc and taking court action to protect customers of crypto-asset trading platform Einstein Exchange — as the websites for both exchanges have stopped loading.

A spokeswoman for the regulator says in an e-mail that it has received several complaints about Nanaimo-based ezBtc.ca, and is commenting publicly because “customer assets are at risk.”

Separately, the commission said Monday that it has received numerous complaints about customers being unable to access their assets on the Vancouver-based Einstein Exchange. A lawyer representing the platform told the commission on Oct. 31 that it planned to shut down within 30 to 60 days “due to a lack of profit.”

The provincial regulator added that on Nov. 1 it applied to the Supreme Court for an order to appoint an interim receiver to protect any assets of Einstein Exchange. The court granted the application and appointed Grant Thornton LLP as interim receiver.

The news comes after the demise of Vancouver-based exchange QuadrigaCX, which sought creditor protection after its founder and chief executive died suddenly late last year leaving its employees unable to locate millions of dollars worth of cryptocurrency.

READ MORE: Widow of QuadrigaCX founder to hand over most assets in settlement

The commission says that to date, no crypto-asset trading platforms have been authorized to operate by the provincial regulator, and do not have the same investor protections as authorized companies.

READ MORE: Cryptocurrency exchange CEO who suddenly died leaves Kelowna house in will

The Canadian Press

Like us on Facebook and follow us on Twitter

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Seniors in the Interior Health region can book their COVID-19 vaccinations starting Monday, March 8, 2021 at 7 a.m. (File photo)
Seniors in Interior Heath region can book COVID-19 shots starting Monday

Starting March 8 the vaccination call centre will be open 7 a.m. to 7 p.m. daily

Coby Reid helped rescue this bobcat from where it had frozen to the train tracks. Photo: Coby Reid
Bobcat deliverer shares details from Kootenay train track rescue

Coby Reid helped rescue a bobcat that was frozen to train tracks near Waneta bridge

Interior Health reported 33 new COVID-19 cases on March 5. (Black Press Files)
Interior Health reports 33 new COVID-19 cases on March 5

Over 300,000 vaccine doses have been administered provincewide.

Nelson's Diana Morita Cole is the keynote speaker of the KDocsFF film festival. Photo: Submitted
Nelson author Diana Morita Cole to speak at film festival

She will share a virtual stage with actor George Takei

The James C Richardson Pipe Band marches in a Remembrance Day parade on Nov. 11, 2019 in Chilliwack. Wednesday, March 10 is International Bagpipe Day. (Jenna Hauck/ Chilliwack Progress file)
Unofficial holidays: Here’s what people are celebrating for the week of March 7 to 13

International Bagpipe Day, Wash Your Nose Day and Kidney Day are all coming up this week

Victoria man Brett Andersen is asking for people’s help to secure him one of eight free tickets to the moon. (Screenshot/@brettandersen Instagram)
Victoria man wants your help securing a free ticket to the moon

Japanese billionaire offering eight people a trip to the moon

The Conservation Officers Service is warning aquarium users after invasive and potentially destructive mussels were found in moss balls from a pet store. (BC Conservation Officers Service/Facebook)
Aquarium users in B.C. warned after invasive mussels found at pet store

Conservation officers were told the mussels were found in a moss ball from a Terrace pet store.

Hockey hall-of-fame legend Wayne Gretzky, right, watches the casket of his father, Walter Gretzky, as it is carried from the church during a funeral service in Brantford, Ont., Saturday, March 6, 2021. HE CANADIAN PRESS/Nathan Denette
Walter Gretzky remembered as a man with a ‘heart of gold’ at funeral

The famous hockey father died Thursday at age 82 after battling Parkinson’s disease

Donald Alan Sweet was once an all star CFL kicker who played for the Montreal Alouettes and Montreal Concordes over a 13-year career. Photo courtesy of Mission RCMP.
Ex-B.C. teacher who was CFL kicker charged with assault, sexual crimes against former students

Donald Sweet taught in Mission School District for 10 years, investigators seek further witnesses

During a press event on March 6, Const. Alex Berube, media relations officer for the West Shore RCMP, addressed a deadly shooting that occurred in Metchosin the night before. (Devon Bidal/News Staff)
VIDEO: One man shot dead on Vancouver Island in ‘targeted incident’

Highway 14 reopens following multi-hour closure for investigation

Personal protective equipment is seen in the COVID-19 intensive care unit at St. Paul’s hospital in downtown Vancouver. THE CANADIAN PRESS/Jonathan Hayward
$16.9 million invested to improve worker safety, strengthen B.C.’s food supply chain

Money to be used for social distancing, personal protective equipment, cleaning, and air circulation

More than ever before, as pandemic conditions persist, the threat of data breaches and cyberattacks continues to grow, according to SFU professor Michael Parent. (Pixabay photo)
SFU expert unveils 5 ways the COVID-19 pandemic has forever changed cybersecurity

Recognizing these changes is the first in a series of steps to mitigate them once the pandemic ends, and before the next: Michael Parent

Most Read