- Cogito, a group representing Cryptopia claimants, has communicated with eligible individuals to clarify aspects of its settlement offer
- Cogito is actively urging claimants to consider its offer of COG stablecoins as opposed to the liquidator’s offer
- Not everyone is sure of Cogito’s legitimacy, however
Cogito, a group representing Cryptopia claimants, has written to qualifying individuals to clarify several elements of its offer. Cryptopia went to crypto exchange heaven five years ago, and creditors are still waiting for recompense. There are, however, two offers on the table and Cogito is doing all it can to urge claimants to take up its offer, but not everyone is biting.
Five Years and Nothing to Show
Cryptopia collapsed in 2019 following two major hacks, leaving customers with funds on the platform engaged in a battle to get something back. Liquidator Granth Thornton put together a package that would see coin holders with over $500 worth of Doge or BTC receiving a partial distribution of 50% of their holdings, to be handed out this year.
The company also proposes that each account holder would contribute $90 per coin type they have towards the liquidator’s distribution costs, so if a customer has five different coin types then they would be liable for $450 of their holdings to go towards distribution costs.
Cogito Proposing an Alternative
Cogito’s alternative proposal involves the COG stablecoin; assets up to €500 in value would be swapped for 500 COG stablecoins pegged to the Euro, with larger holders able to cash out at prevailing market rates. However, there are drawbacks to this offer, as Cogito noted in an email over the weekend:
The Cogito offer will settle you in Cog, the digital currency of Cogito, this does currently have some limitations of use, but it is growing globally and rapidly. There is currently no option to transfer your Cog to a fiat bank account.
Cogito transactions will also incur a 1.5% transaction tax, although this is to be expected and seems to be a better solution than Grant Thornton’s approach.
Cogito adds that their proposal is the best option of the two for those with $500 or less in their accounts “because the proposed costs and the potentially still another 2 years before getting settled are risks against you.” The company added that it hopes to provide “a range of investments” for COG recipients in the coming weeks, including “the ability to resell for CBC/fiat.”
Despite these efforts, a shadow still hangs over the Cogito offer, as the responses on X attested:
Yes. I think they are scammers.
Elaborate ones. No social media presence.
— Mr_Shills (@Donfrank2) January 13, 2024
Yup, looks like a scam/ shitcoin offering
— L’₳lchimistε (@PritzAlchemist) January 13, 2024
Cogito, however, says it has received considerable interest in its offer, and has urged Cryptopia creditors to take up the Cogito offer because “regardless of how small your account holding, the more authority we have in the legal process.”
