News for hackers. Stuff that matters.
Re:$190M missing after crypto exchange Quadriga CEO dies by seibelj on Saturday February 02, 2019 @12:23AM (#19061282)
Edit - This is a conspiracy theory but it doesn’t mean it’s totally crazy - there is a good chance this “dead” CEO is still alive.

Very shortly before his death he got his affairs in order and flew to India. Then it’s reported he died along with a death certificate from India. Now they can’t find $200mil in crypto and are not reporting the cold storage addresses.

Would not surprise me if there has been massive fraud here, whether the CEO is alive or not. Everything is too convenient.

If you want to read posts from many sad and pissed off people, their subreddit is full of them https://www.reddit.com/r/QuadrigaCX

Re:$190M missing after crypto exchange Quadriga CEO dies by sidyapa on Saturday February 02, 2019 @12:42AM (#19061343)
I am from India and trust me, finding a public toilet is more difficult than faking a death certificate
Re:$190M missing after crypto exchange Quadriga CEO dies by alexnewman on Saturday February 02, 2019 @04:27AM (#19062052)
i don’t like talking about this in public due to the safety risk, but it’s also very easy in the united stages. you just need paper pen, white out and a fax machine. most death certificates are easily available online. perhaps i restored some of your faith in humanity. Deading someone isn’t more common
Re:$190M missing after crypto exchange Quadriga CEO dies by molesy on Saturday February 02, 2019 @06:14AM (#19062440)
Most jurisdictions (US and otherwise) have moved to Electronic Death Registration Systems. There was a fun Defcon talk about "killing" people with them a few years ago - https://www.youtube.com/watch?v=9FdHq3WfJgs
Re:$190M missing after crypto exchange Quadriga CEO dies by Scoundreller on Monday February 04, 2019 @01:38AM (#19074420)
And apparently a big problem if someone fat fingers your SSN and kills you by accident. Most systems aren’t design to unkill you to correct the mistake.
Re:$190M missing after crypto exchange Quadriga CEO dies by vinni2 on Wednesday February 06, 2019 @01:04AM (#19093071)
It’s easy I agree but not that easy. When my grand mother passed away at home in India we took her to the hospital and they said she was brought dead and they cannot issue a death certificate. Then we had to find some doctor in the neighborhood who was willing to issue one. Now he only agreed to issue after making sure that he she was actually dead. I suspect getting a fake death certificate would not not be this easy.
Re:$190M missing after crypto exchange Quadriga CEO dies by doorbellguy on Saturday February 02, 2019 @01:31AM (#19061511)
Are you trying to be dramatic just for the sake of it? Because finding a public toilet (aka sulabh shauchalaya) is not difficult AT ALL.

Source: I've lived in 7 cities in India all my life.

Re:$190M missing after crypto exchange Quadriga CEO dies by derp_dee_derp on Saturday February 02, 2019 @01:37AM (#19061537)
That's the joke: it's super easy to fake a death certificate in India.
Re:$190M missing after crypto exchange Quadriga CEO dies by doorbellguy on Saturday February 02, 2019 @01:40AM (#19061544)
Thanks for the clarification. English not being my first language, I find it difficult to catch jokes if they're worded that way.
Re:$190M missing after crypto exchange Quadriga CEO dies by danaur on Saturday February 02, 2019 @02:45AM (#19061747)
As a native English speaker it still is ambiguous to me
Re:$190M missing after crypto exchange Quadriga CEO dies by dvujatovic on Monday February 04, 2019 @05:59PM (#19081541)
In a country of over a billion people, I imagine that finding a public toilet is not that easy.
Re:$190M missing after crypto exchange Quadriga CEO dies by doorbellguy on Wednesday February 06, 2019 @02:50AM (#19093448)
You imagine and I've experienced it. Wonder who has a better idea...
Re:$190M missing after crypto exchange Quadriga CEO dies by rabidrat on Saturday February 02, 2019 @01:36AM (#19061532)
Yeah and imagine that faking a death certificate is even easier than that. That would make it a pretty effective metaphor for how easy it is.
Re:$190M missing after crypto exchange Quadriga CEO dies by ekianjo on Saturday February 02, 2019 @01:31AM (#19061508)
Can you easily buy a new identity and passport though?
Re:$190M missing after crypto exchange Quadriga CEO dies by guardiangod on Saturday February 02, 2019 @01:45AM (#19061561)
I guess with $200 million untraceable money you can afford to buy an identity of a dead Indian.
Re:$190M missing after crypto exchange Quadriga CEO dies by creatornator on Sunday February 03, 2019 @12:29AM (#19068045)
I would think since every transaction is recorded on the blockchain, and he is the only one with the keys, any activity involving those BTC would raise a red flag.
Re:$190M missing after crypto exchange Quadriga CEO dies by rmtech on Monday February 04, 2019 @05:40PM (#19081379)
But suppose that some time from now someone moves all that BTC into a different cryptocurrency, potentially via automated services like shapeshift.

What happens? How do people punish him?

Re:$190M missing after crypto exchange Quadriga CEO dies by ssvss on Saturday February 02, 2019 @03:18AM (#19061854)
Death certificate is issued by local authorities, so easier to bribe. But valid Passport will be hard to get.
Re:$190M missing after crypto exchange Quadriga CEO dies by jessaustin on Saturday February 02, 2019 @07:10AM (#19062580)
That could have been obtained before the "death", anywhere in the world. (and forged entry stamps could also be obtained)
Re:$190M missing after crypto exchange Quadriga CEO dies by techslave on Saturday February 02, 2019 @01:18AM (#19061465)
wait. so is that easy or hard?
Re:$190M missing after crypto exchange Quadriga CEO dies by tyingq on Saturday February 02, 2019 @07:48AM (#19062723)
One comment in that thread stands out: "Who writes a will two weeks before their death but doesn't create a backup plan for the wallets that hold other people's funds?"
Re:$190M missing after crypto exchange Quadriga CEO dies by Dave_TRS on Saturday February 02, 2019 @01:11AM (#19061452)
Re:$190M missing after crypto exchange Quadriga CEO dies by bouncycastle on Saturday February 02, 2019 @01:33AM (#19061520)
Wait... What the???

Quote "BitGrail lost $170 million worth of Nano XRB tokens because... the checks for whether you had a sufficient balance to withdraw were only implemented as client-side JavaScript "

Re:$190M missing after crypto exchange Quadriga CEO dies by tyingq on Saturday February 02, 2019 @04:07PM (#19065720)
I remember a number of early e-commerce sites that put item prices in HTML forms. So craft your own POST, and name your own price.
Re:$190M missing after crypto exchange Quadriga CEO dies by bouncycastle on Saturday February 02, 2019 @05:37PM (#19066241)
Yes, seen this once before, where the shipping price was calculated client side, then sent to the server with no validation. You could craft a request with a negative value and get the price down to a cent for the entire cart!

At least in e-commerce, you can always send an email to the customer explaining the mistake, and cancel the order...

Re:$190M missing after crypto exchange Quadriga CEO dies by mtmail on Saturday February 02, 2019 @04:50PM (#19065957)
Recently seen the price listed/editable in the URL on a checkout form page.
Re:$190M missing after crypto exchange Quadriga CEO dies by londons_explore on Saturday February 02, 2019 @05:07AM (#19062185)
"top men"
Re:$190M missing after crypto exchange Quadriga CEO dies by quickthrower2 on Tuesday February 05, 2019 @04:13PM (#19089882)
Kudos. It's harder to lose $100m these days as when Bitcoin was at peak price.
Re:$190M missing after crypto exchange Quadriga CEO dies by nopriorarrests on Saturday February 02, 2019 @02:12AM (#19061639)
hilarious!
Re:$190M missing after crypto exchange Quadriga CEO dies by whoisjuan on Saturday February 02, 2019 @12:33AM (#19061315)
Also, to feed the conspiracy theory that this is a fraud:

They are claiming he died from Chron’s disease which is highly unlikely.

It seems like a plausible deniability move. He probably has Chron’s disease and that can be easily proven through his medical history.

Also is easier to tie that, to a story in which he couldn’t get the right treatment for his Chron’s disease complications abroad.

Re:$190M missing after crypto exchange Quadriga CEO dies by covercash on Saturday February 02, 2019 @01:04AM (#19061436)
Dying from complications related to Crohn’s is not out of the question, especially in places that don’t always have the best health care.
Re:$190M missing after crypto exchange Quadriga CEO dies by n_t on Saturday February 02, 2019 @01:28AM (#19061501)
https://en.wikipedia.org/wiki/Medical_tourism_in_India "India is cost-effectiveness, and treatment from accredited facilities at par with developed countries at much lower cost."
Re:$190M missing after crypto exchange Quadriga CEO dies by Scoundreller on Saturday February 02, 2019 @02:37AM (#19061718)
But will a Canadian that’s unfamiliar with the country be able to find it?

(Serious question, I have no idea what the answer is).

Re:$190M missing after crypto exchange Quadriga CEO dies by me551ah on Saturday February 02, 2019 @02:49AM (#19061762)
It's really easy to find hospitals in India, just google 'hospitals around me' or use the phone number '102' to call an ambulance from any place. Usually, doctors are very comfortable talking in English. I'm from India and most of my conversations with doctors happen in English.
Re:$190M missing after crypto exchange Quadriga CEO dies by Arnt on Saturday February 02, 2019 @05:34AM (#19062291)
Extremely easy.

I've been unwell in India, and had unwell children there. India probably sucks if you have no money, but if you have a white face or other sign of affluence, then getting to a physician or hospital is no problem at all, and the care is good.

Re:$190M missing after crypto exchange Quadriga CEO dies by akudha on Saturday February 02, 2019 @09:36AM (#19063164)
India probably sucks if you have no money

This is true in most of the world, not just India :P

Re:$190M missing after crypto exchange Quadriga CEO dies by tyingq on Saturday February 02, 2019 @10:54AM (#19063591)
It's also more likely to die from complications of, say, surgery for Crohn's. So you might make a will beforehand (he made a will 2 weeks prior to dying). For the same reason, you might look into key escrow or similar (he clearly did not).
Re:$190M missing after crypto exchange Quadriga CEO dies by raverbashing on Saturday February 02, 2019 @01:07AM (#19061441)
I'm sure there's good health care there for people who can afford it
Re:$190M missing after crypto exchange Quadriga CEO dies by vit05 on Saturday February 02, 2019 @01:03AM (#19061433)
Good to add that they were having some liquidity problems before his death.

The trip to India was supposed to open an orphanage. This orphanage was built by an organization that accepts large donations for specific buildings such as orphanages or water wells. For an orphanage, it costs $ 50,000.

It did not seem to me, when visiting this organization's website, that they have full transparency about these negotiations and these expenses.

And so far they have not released addresses for cold wallets. Okay, he had the private key. But public keys would have to be known by the system.

Re:$190M missing after crypto exchange Quadriga CEO dies by londons_explore on Saturday February 02, 2019 @05:08AM (#19062189)
He could perhaps have been having trouble with his Chrones disease, so he got his affairs in order and went to India for potentially risky and expensive treatment, which didn't go well.
Re:$190M missing after crypto exchange Quadriga CEO dies by hndamien on Saturday February 02, 2019 @06:13AM (#19062439)
And the motivation for getting the affairs in order didn’t motivate including private key management in the affairs. There is zero chance this is not a scam exit.
Re:$190M missing after crypto exchange Quadriga CEO dies by warent on Saturday February 02, 2019 @12:26AM (#19061291)
Well strictly speaking it is a conspiracy theory but not an unreasonable one.
Re:$190M missing after crypto exchange Quadriga CEO dies by gammateam on Saturday February 02, 2019 @12:36AM (#19061327)
Yes the exchange participating in not disclosing cold storage addresses would make it a conspiracy
Re:$190M missing after crypto exchange Quadriga CEO dies by seizethecheese on Saturday February 02, 2019 @12:25AM (#19061290)
Well, it is a conspiracy theory, but not all conspiracy theories are wrong...
Re:$190M missing after crypto exchange Quadriga CEO dies by tim333 on Saturday February 02, 2019 @09:37AM (#19063167)
Not sure there's even a conspiracy required, just the CEO being a fraudster.
Re:$190M missing after crypto exchange Quadriga CEO dies by ekianjo on Saturday February 02, 2019 @01:30AM (#19061506)
Yes, since conspiracies have been unveiled several times before, the possibility is always there. Now, one needs some clues to feed the conspiracy. If there is an investigation we may know more.
Re:$190M missing after crypto exchange Quadriga CEO dies by amrx431 on Sunday February 03, 2019 @03:28AM (#19068445)
Indian here. Its very easy to get a death certificate. Local newspapers do funny stings where they have got birth certificates and death certificates made of international personalities. Most funny was those of Zarqawi and Bin Laden.
Re:$190M missing after crypto exchange Quadriga CEO dies by tiuPapa on Saturday February 02, 2019 @02:46AM (#19061752)
Not true. Things have improved vastly in the health administration sector, especially when it comes to records. Corruption is indeed rampant but I think most Indians themselves have a very Bollywood-y idea about how things happen outside of their circle. So for a foreign official, outright faking it would be tough, until its somewhere deep in the rural parts (with little connection to the outside world). I think its more plausible that he committed suicide and the records are being altered, not faked.

Source: I have family working in this sector. Shit is difficult, especially if you are a foreign personal.

Re:$190M missing after crypto exchange Quadriga CEO dies by sho on Saturday February 02, 2019 @05:25AM (#19062258)
I'm sure they have improved greatly, which is wonderful, but it's still India, as you admit yourself:

> Corruption is indeed rampant

Are you seriously claiming you couldn't get a fake record in India for USD$1m? or even USD$100k? That is a lot of money for a doctor in India. I have a trouble believing it would be all that hard.

It was probably all organised before he even got on the plane.

Re:$190M missing after crypto exchange Quadriga CEO dies by thisisit on Saturday February 02, 2019 @02:21AM (#19061667)
A viable one at that. Many NGOs in India are actually sketchy business operations.

I am no expert but Indian laws are very strict when it comes to foreign money transactions. The law behind is called the Foreign Contribution (Regulation) Act, 2010. Everyone taking in foreign contributions need to register and file the amount of dollars flowing in.

I tried searching for the NGO on the FCRA website: https://fcraonline.nic.in/fc8_statewise.aspx

in state of Andhra Pradesh and got nothing.

Re:$190M missing after crypto exchange Quadriga CEO dies by justboxing on Saturday February 02, 2019 @07:52AM (#19062734)
> Very shortly before his death he got his affairs in order and flew to India.

This is a huge red flag. It's really easy to get fake IDs, passports, marriage certificates, death certificates, driver's licenses[1] etc in India, if you grease the right hands. and it's not even that much in USD. We are talking a couple of 100 bucks ( USD ) for a new passport with a new name and far less for other things.

[1] Source: Me. I) had to bribe a DMV officer about 200 Rs ( 4 USD back then in 1999) to get my Driver's License , so I can drive in US. I had to do this cos I was leaving in 3 days and I'd landed a job the previous week ( Had my H1-B ready to go).

I didn't even go to the DMV. He delivered the "International Drivers Permit" drivers license right to my door in 2 days.

Re:$190M missing after crypto exchange Quadriga CEO dies by Gustomaximus on Saturday February 02, 2019 @09:17AM (#19063080)
Add to this:

"Mr. Cotten was diligent in other areas of his life. He signed a will on Nov. 27, less than two weeks before he died."

If that his first will, either he knew he was so ill this was a chance or another red flag.

Re:$190M missing after crypto exchange Quadriga CEO dies by tossaccount123 on Saturday February 02, 2019 @01:55AM (#19061580)
people have done crazier things for less money

Fake your death, get some plastic surgery done, enjoy life with those $200 million dollars

Re:$190M missing after crypto exchange Quadriga CEO dies by FabHK on Saturday February 02, 2019 @07:19AM (#19062623)
Reminds me of drug trafficker "Lord of the Skies" Amado Carrillo Fuentes, who underwent plastic surgery, but died after the 8 hour procedure. The doctors were later found in concrete filled oil drums along a highway, with signs of torture to boot.

https://en.wikipedia.org/wiki/Amado_Carrillo_Fuentes

http://edition.cnn.com/WORLD/9711/06/mexico.doctor/index.htm...

Another one:

https://www.radionz.co.nz/news/world/343092/mexican-gang-bos...

Re:$190M missing after crypto exchange Quadriga CEO dies by mrtnmcc on Saturday February 02, 2019 @12:28AM (#19061300)
Cold storage addresses.. you mean the morgue?
Re:$190M missing after crypto exchange Quadriga CEO dies by seibelj on Saturday February 02, 2019 @12:38AM (#19061332)
I know this is meant as humor, but if they reported the public cold storage addresses then analysis could be done on movements and timelines.

I’m quite confident the lawyers will get to the bottom of this.

Re:$190M missing after crypto exchange Quadriga CEO dies by faead_ on Saturday February 02, 2019 @08:57AM (#19062980)
You realize that all bitcoin transactions can be tracked. People have sent BTC from their wallets to Quadriga, it should be trivial to find the cold wallet address. Should be easy for anyone who understands blockchain forensics.