Liquidation Evaluation

In the interim order, the liquidators will force any members who withdrew bitcoin to repay the bitcoin withdrawn at the value withdrawn.

That will mean, if you in July 2020 invested five bitcoin, and then because you were unhappy with the process, withdrew your five bitcoin from the scheme, you will have to repay the five bitcoin to the liquidators irrespective of whether you have a claim now or not.

Further, if you withdrew bitcoin to the value of $100,000 you will first put back into the liquidators' pot the $100,000. Now, just for example, your claim may only be valued at $0.65 in the dollar. This means that you will be at an absolute loss when you recover your investment.

This order is absolutely not in the interest of the investors, as it only benefits the liquidators who can recover 10% of what they collect for the communal liqidators' pot. Therefore, this method will greatly disadvantage many individuals and is only to the advantage of the liquidators.

Do you think that treating "net losers” and “net winners” fairly in a debit credit system should be used? Would that not be a much better way of evaluating what needs to be repaid and paid out? Do you support a system such as this and reject the liquidators’ proposed procedure?

In the original documentation set out by the liquidators they actually had this evaluation system used to determine where you were a net winner or loser and to give you an idea of your claim.

Why this sudden change of procedure?

This interim order is grossly unfair and in our opinion simply only to the benefit of the liquidators and has many aspects that disadvantage the MTI investors.

The question below deals with this.