REKT Reminders

Mt. Gox was a bitcoin exchange based in Shibuya, Tokyo, Japan. Launched in 2010, it was handling over 70% of all bitcoin (BTC) transactions worldwide by early 2014 when it abruptly ceased operations amid revelations of its involvement in the loss/theft of hundreds of thousands of bitcoins, then worth hundreds of millions in US dollars. 
 
In February 2014, Mt. Gox suspended trading, closed its website and exchange service, and filed for bankruptcy protection from creditors. In April 2014, the company began liquidation proceedings. Although 200,000 bitcoins have since been "found," the reasons for the disappearancetheft, fraud, mismanagement, or a combination of thesewere initially unclear. New evidence presented in April 2015 by Tokyo security company WizSec led them to conclude that "most or all of the missing bitcoins were stolen straight out of the Mt. Gox hot cryptocurrency wallet over time, beginning in late 2011." On 24 February 2014, Mt. Gox suspended all trading, and hours later its website went offline, returning a blank page. A leaked alleged internal crisis management document claimed that the company was insolvent, after having lost 744,408 bitcoins in a theft that went undetected for years. 
 
By May 2016, creditors of Mt. Gox had claimed they lost $2.4 trillion when Mt. Gox went bankrupt, which they asked to be paid to them. The Japanese trustee overseeing the bankruptcy said that only $91 million in assets had been tracked down to distribute to claimants, despite Mt. Gox having asserted in the weeks before it went bankrupt that it had more than $500 million in assets. The trustee's interim legal and accounting costs through that date, to be paid ultimately by creditors, were $5.5 million. On 15 January 2021, Bloomberg News reported CoinLab Inc. had made an agreement with Nobuaki Kobayashi, the trustee to the Mt. Gox bankruptcy, and the Mt. Gox Investment Fund LP, a unit of Fortress Investment Group. As much as 90% of the remaining Bitcoin tied up in bankruptcy proceedings would be offered to creditors. 
 
At the creditors' meeting on 20 October 2021, it was announced that the Civil Rehabilitation Plan was accepted by 99% of the creditors (representing 83% of the total amount of voting rights) and that billions of dollars in Bitcoin would be provided as compensation. The plan was officially approved on 16 November 2021. On April 6, 2023, MtGox announced that the deadline for filing claims for damages had expired. Payments are promised to begin before October 31, 2023.

#299

Squid Game Token was based onbut not affiliated withthe runaway Netflix series of the same name. The coin harnessed the zeitgeist for the Netflix series Squid Game by apparently offering obsessed gamers access to a play-to-earn game. The projects whitepaper, published on its now-defunct website, promised big things for investors but sounded awfully like a Ponzi scheme. The more people join, the larger the reward pool will be, it promised. Just after 1:38 pm UTC on November 1, 2021, $3.36 million that had been invested into Squid Game coin was yanked out of the project by its creators. The liquidity pool in the exchange disappeared in an instant, and within 10 minutes, the coin was almost worthless, trading at one-third of a cent. 
 
Eight wallets out of the 43,455 addresses tied to Squid Games coins hold more than 1 percent of all tokens in circulation, according to BscScan. One such account, tagged by Ethereum analytics company Etherscan as an account that definitely pulled the rug out from under investors, held 5 percent of all the tokens. That same account transferred $3.36 million to another wallet.

#298

Clever DeFi was a cryptocurrency launched on Ethereum by its creator Brian Legend. CLVAs white paper made claims of 307% interest paid over the course of 1 yr. Brian Legend is known for his AMAs where he is able to smooth talk investors into believing that his ponzinomics will make all of them rich. Clever DeFi was eventually delisted, costing investors who were swindled by the promises of Legend, chasing the too good to be true APYs. More recently, Legend has been at it again with a new token called saffu. Saffu was an auto rebase token that also promised insane returns of 2% daily. Unfortunately, Saffu has suffered a similar fate to Clever DeFi, but Legend being the smooth talker he is, was able to talk his investors into sacrificing their saffu tokens for a chance of owning a part of a new blockchain that he was bringing to the market. To this day, no one has received any compensation for Clever DeFi or Saffu.