Ah, Cryptsy. It was like the Wild West in cryptocurrency, before it all went wrong. Imagine throwing all your coins in a vault thinking that it would be safe. You cross your fingers and hope for the best. Only to have it crash quicker than a cake thrown at a dogs’ party. Cryptsy’s tale is filled with dramatic moments. Find out more.
Time to go back in time to 2013. The cryptocurrency market was in full swing, and digital currencies were appearing like daffodils at spring. Cryptsy was the first to arrive on the scene. It offered a platform where users could trade over 200 different cryptocurrencies. In the early years, the market was filled with the hope of digital gold. Cryptsy – riding the wave of digital gold – quickly became the destination for altcoin fans.
Who is this company’s ringleader? Paul Vernon, or Big Vern. No, Big Vern isn’t a fictional character. It was a real deal, both metaphorically and literally. I mean, who would not want to get a bit of the future like Bitcoin?
It’s here that the rollercoaster gets really exciting. The moves that were made behind closed doors did not sit well. Users began to report the issues. Funds went missing; withdrawals got harder to make. It was like the money went on a mystery vacation and left a puzzle rather than a trail. Big Vern tried reassuring everyone by saying, “We’re only experiencing technical issues.” But people clung on to hope just like kids trying to grab a string of balloons that were elusive despite murmurs about hacks.
Vernon spilled all the beans by 2015. Cryptsy, a popular online marketplace, was hacked way back in 2014 To the tune 13,000 BTC! Who knew all that digital cash would disappear in a washing-machine cycle? The hacker – known only as Lucky7Coin – was unwelcome at a sleepingbag convention. He managed to grab 300,000 Litecoins as well as Bitcoin. It was both a brain-twister for techies and an eye-opener for investors.
As the company tried to stay afloat it was lagging behind. It’s a fact that vultures were hovering. As lawsuits mounted, they piled up. Users wanted more than answers; they wanted their treasures! Big Vern had the spotlight on him, but it was uncomfortable like wearing a sweater made of wool in the heat. Byron Byron, some claimed. It was the plot twist that nobody wanted.
Cryptsy has closed its virtual gates in January 2016, after being slowed down by legal disputes, and having failed to find any answers. Many were left bitterly disappointed by the closure. In this case their digital wallets were empty. You’ve been thrown a huge curve ball!
Big Vern’s disappearance to China was a truly filmic twist. Nope, it’s not from the film ‘Getaway. Rather, an actual move. The FBI even got involved in the saga. “Hey, can you lend us a hand?” A long and winding story culminated in 2017 with a lawsuit. Like being sold the promise to great riches and then finding out it was as empty as an older well that has not been tapped.
Cryptsy’s rise was followed by a fall, and a cautionary warning on the road of cryptocurrency trading. This story stands out amongst the birch trees that are growing in the digital finance world as one of hope dashed. Trust betrayed. And a whole community left picking up the pieces. Keep in mind that the crypto story will continue well beyond Cryptsy. You should always keep an eye and care for your investments as though they were your mom’s most precious china.
Cryptsy has been wrapped up with the craziest bow. The story sounds straight out a fiction novel, but the truth can sometimes be more bizarre than we imagine.