The founders of the bankrupt crypto investment firm Africrypt, Amir and Reis Keiji, “vehemently denied” accusations of defrauding clients. They attributed the crash to a hacker attack, writes the BBC.
The brothers’ lawyer John Osthuizen said his clients did not file a police report after the incident. They allegedly received physical threats and decided to protect themselves and their families, the lawyer added.
He announced the brothers’ readiness to cooperate with the investigation after receiving a notification, but did not disclose their whereabouts. Osthuizen called the accusations against the Africrypt leadership baseless.
In April, the firm abruptly shut down after reporting a hack in the trading system. According to its representatives, the cyberattack affected customer accounts, wallets and nodes.
According to media estimates, user funds in the company’s funds amounted to $ 3.6 billion. After the alleged hack, Amir and Reis Keiji transferred their bitcoin investments to their wallets, journalists said.
An anonymous investor interviewed by the BBC stated that the losses suffered were much lower than the announced amount. The broadcaster also referred to the archives of the Africrypt website, which indicated AUM firms in $ 100 million as of January 2021.
Earlier, an intergovernmental working group of South Africa proposed to tighten regulation of the cryptocurrency industry in the country.
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