2 weeks ago
Cryptocurrency News

Crypto Prices Recover; FBI Investigating Quadriga Over Missing Funds, Source Says

Investing.com - Cryptocurrency prices recovered slightly on Tuesday without any clear driver, while reports surfaced that the Federal Bureau

Investing.com - Cryptocurrency prices recovered slightly on Tuesday without any clear driver, while reports surfaced that the Federal Bureau of Investigation could be investigating Quadriga over its missing funds.

The FBI could be looking into the digital exchange which faces countless lawsuits after it lost $136 million following the death of its CEO in December, Fortune reported on Monday.

Jesse Powell, the CEO of crypto exchange Kraken, told Fortune that the FBI and Royal Canadian Mounted Police have been in touch with his company in recent weeks. Powell told the magazine that he thinks the missing funds were transferred to other exchanges.

His remarks support claims from consulting company ZeroNonCense, which claims that Quadriga stored 650,000 ETH on other exchanges, including Kraken and Bitfinex.

Quadriga is reportedly missing CA$180 million dollars ($135.39 million) in digital assets due to the death of its founder Gerry Cotten, who was the only one with access to the company’s cold wallet.

Bitcoin rallied 1.2% to $3,749.9 as of 8:02 AM ET (13:02 GMT) on the Investing.com Index.

Cryptocurrencies overall were slightly higher, with the overall market cap rising to $128 billion at the time of writing compared to $125 billion on Monday.

Ethereum rose 3.3% to $129.08 and XRP increased 2.4% to $0.30825 while Litecoin was at $9.165, up 6.7%.

In other news, crypto finance company Circle has completed its acquisition of crowdfunding platform Seedinvest. The move will allow the Goldman Sachs-backed company to explore the tokenization of traditional financial contracts.