Africrypt founders claim hacked, disappear with 69,000 bitcoins
According to reports, the two brothers who founded the South African cryptocurrency exchange Africrypt have gone missing, along with 69,000 bitcoins from the exchange. At current prices, this is estimated to be around 2.3 billion US dollars.
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According to a report, the two brothers who founded the South African cryptocurrency exchange Africrypt have gone missing along with 69,000 bitcoins from the exchange, which is worth approximately $2.3 billion at current prices.
Africrypt was founded in 2019 by the brothers Raees and Ameer Cajee. The price of bitcoin hit a record high of $64,000 in April, but Ameer Cajee, who is the chief operating officer, sent a letter to all investors claiming that the exchange had been compromised by hackers and they were working to rectify the situation and recover all losses. He advised investors not to inform lawyers or law enforcement agencies as it would make the recovery of lost funds more difficult, and Africrypt temporarily halted operations.
Based on estimates at the time, the brothers allegedly absconded with around $4.4 billion worth of bitcoins, making it the largest cryptocurrency scam in history.
Shortly after Africrypt suspended operations, the brothers fled to the UK. The case is currently being investigated by a law firm hired by Africrypt investors. The law firm stated that a week before the brothers claimed there was a hack, Africrypt employees were already unable to access the backend of the trading platform.
The South African financial regulatory authority is also investigating the scam. Since South Africa does not recognize cryptocurrencies as legal assets, no official statements have been made.
According to reports, FNB, one of South Africa's five major banks, which is also associated with the exchange, stated that it has no relationship with Africrypt.
In December 2020, the South African cryptocurrency exchange Mirror Trading International was involved in a scam that defrauded investors of over 23,000 bitcoins, valued at approximately $1.2 billion at the time, making it the largest cryptocurrency scam of 2020 globally. Now, Africrypt surpasses Mirror Trading International in scale, with losses three times greater.
(This article is authorized to be reproduced from Horizon News Network)