Coinsecure in India Files FIR Against Its CSO After the $3 Million Missing Bitcoin

Coinsecure in India Files FIR Against Its CSO After the $3 Million Missing Bitcoin

April 16, 2018 Off By Sydney Ifergan

Coinsecure’s attempt to put their ability to distribute Bitcoin Gold (BTG) into test comes out to expose its weakness. As a result of the action, they had lost over three million dollars, either because they are totally unprepared for the action or someone is trying to take advantage of its vulnerability.

The Indian-based large cryptocurrency exchange company filed its First Information Report (FIR) with the authority that alleging its own CSO is the one responsible for the loss of such large amount.

Coinsecure’s partner company Secure Bitcoin Traders Pvt. Ltd. had filed the FIR that explains that the user’s funds are kept securely in their Bitcoin wallet in which its private keys are saved on the company’s CSO Dr. Amitabh Saxena and its CEO Mohit Kaira at the Coinsecure.in. The interesting part of the story is that Mr. Mohit is the one who filed the First Information Report.

“Our CSO had informed us that there were attacks and we lost 438.318 in the company’s bitcoin wallet,” said Mr. Mohit. “With the fact that the private keys of the wallets are kept with him, we come to a conclusion that he has something to do with the whole incident and he is just diverting our attention in the said hacks.”

After the company filed the FIR, they immediately inform the users about the loss a couple of days ago. They alerted the users to stop depositing in the Coinsecure’s addresses, with the immediate effect until a further notice. They said that they are currently working on the possible solutions and just update the users when will the wallets are ready to use again.

According to the FIR’s content, the incidents reported by Dr. Saxena doesn’t appear to be convincing. The letter also reminds the police that he has an Indian passport, which can freely allow him to fly any time out of India, thus the passport should be confiscated so he won’t be permitted to depart.

Just last year in the month of September, Dr. Saxena was appointed to the position of the company. According to the press release announcement of the Coinsecure, Dr. Saxena had contributed articles about the science of the cryptocurrency that is based on the Blockchain space research, though is one of the early adopters of the crypto ecosystem. He also comes with a strong understanding of the crypto space and contains a lot of implementations and ideas.

Cryptoninjas profile about Dr. Saxena says last years that after helping the Coinsecure over the last three years realizing its vision for Indian cryptocurrency market, he is now a part of it and have the role in the team as the Chief Scientists Officer. He is very keen about the company’s construction progress of the fast and complex algorithms and the backbone of the exchange platform.

With the filing of the FIR, the company believes that there is an inside job in the loss of such large amount. However, the first statement announced online is somewhat less sincere than its FIR.

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