Coinsecure Delays the Compensation To Customers for Stolen Bitcoin

Indian exchange Coinsecure has updated users regarding the disbursement of funds due to stolen bitcoins. The exchange previously confirmed that BTC were stolen on April 8, worth approximately Rs 20 crore or US $3,067,220.

The exchange told that it will begin returning customer funds by this point, it remains unable to do so because of a police investigation. However, that deadline has passed and the exchange is now saying “there has been a delay on that front,” elaborating:

The statement continued:

“When investigations are underway, we don’t have much of a say and do need permissions from the authorities to start the compensation process, which we are yet to receive. We will update you when we have definite dates around the start of the process.”

Coinsecure previously blamed chief security officer Amitabh Saxena for allegedly exposing the exchange’s private keys while trying to distribute bitcoin gold, a cryptocurrency offshoot of bitcoin, to customers, as previously reported. At the time, chief executive Mohit Kalra said “our customers will be indemnified from our company’s funds,” but cautioned it might take time to recover the stolen coins.

The company later announced that if all of the stolen bitcoins were recovered, customers would be repaid fully in the cryptocurrency, but otherwise, they would be paid in a mix of bitcoins and rupees.

In particular, Coinsecure announced that 90 percent of the funds would be repaid in rupees according to the price on April 9. At the time, the token was trading at under $7,000, but has rallied to just under $9,000 as of press time.

Read more: Post Bitcoin Theft, Coinsecure to Refund Its Customers in 10% BTC and 90% INR

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