The Serious Fraud Office (SFO) has opened an investigation into failed New Zealand-based cryptocurrency trading platform Digital Asset Exchange, trading as Dasset.
Dasset went into liquidation in August 2023.
The SFO has asked anyone with information that may be relevant to this investigation, or who is a customer of Dasset, to contact it at dasset@sfo.govt.nz.
In their first report on Dasset, published on August 21, liquidators David Ruscoe and Russell Moore (both of Grant Thornton) said at least $6.3 million in cryptocurrencies were missing โ the difference between what Dasset customers thought they had in their digital wallets and the digital assets actually available, around $600,000 in cryptocurrency.
Staff were owed $16,700 in unpaid wages, IRD $203,700 and various unsecured creditors $53,700.
In an interim report issued on December 21, liquidators said they had secured most of the $600,000 in digital currency, but efforts to learn more about the missing $6.3 million had been hampered by the fact that CEO Stephen Macaskill had disappeared from the radar. .
โOverall progress has been hampered by the fact that we have had no contact with the CEO since the third day of the liquidation, despite our numerous attempts to contact him. While the third-party offshore exchange has provided information, it is understood that the CEO retains key knowledge of how the overall exchange operated and also how and whether customer records are stored,โ Ruscoe and Moore said.
Liquidators were still trying to verify the balances of around 5,000 customers.
The efforts were undermined because Macaskill appeared to be the only person with detailed knowledge of Dasset's key systems.
Dasset was caught in turbulence after losing its banking services provider, which was not replaced, in January 2023.
Over the following months, several clients complained to regulators that they were unable to access funds, transfer funds to another exchange, or communicate with anyone at Dasset.
Although Dasset promoted that it was on the Register of Financial Services Providers and subject to the registry's dispute provider, the Insurance and Financial Services Ombudsman System (Ifso), the system did not have the strength to process customer complaints. , as of May, about Unable to access accounts or communicate with Dasset staff. Cryptocurrency is an unregulated financial product in New Zealand.
Dasset was removed from Ifso in July 2023 for failing to respond to customer complaints.
Following their initial assessment, the liquidators referred Dasset to the SFO. The Financial Markets Authority has also been investigating Dasset. The watchdog sent questionnaires to Dasset's clients - ranging from Auckland mother of two who lost access to her $40,000 life savings to an investment banking veteran who lost millions.
Ruscoe updated this afternoon that liquidators have not yet been able to contact Macaskill.
He was unable to comment on the SFO investigation.
A Financial Markets Authority spokesperson said: โThe FMA referred the most relevant matters to the SFO. โThere are still some issues that the FMA is investigating, but we cannot comment further.โ
The SFO had no comment.
Chris Keall is a member of the HeraldThe business team. Joined to Herald in 2018 and is a technology editor and senior business writer.
