Key Takeaways
- Africrypt directors Raees and Ameer Cajee reject claims of $3.6 billion BTC exit scam
- Brothers ready to co-operate with South African authorities on investigation
- Total BTC lost may be less than the initial $3.6 billion quoted
John Oosthuizen, the lawyer representing the brothers, revealed to the BBC that the accusations levied against his client lacked merit. Africrypt had reportedly revealed a hack on their platform in April when the price of Bitcoin was at the height of its bullish run.
Investors reportedly became concerned when the company urged users not to report the hack to authorities as it would slow down the process of recovering funds. Other warning bells emerged as Africypt employees lost access to the platform. In addition, the lost funds were sent to Bitcoin mixers to make them less traceable.
All these signs suggest that the alleged hack is now seen as an exit scam by the aggrieved investors. The hack was reported to South Africa's Priority Crime Investigations Directorate, which investigates financial crimes.
Oosthuizen, however, suggested that it was not an exit scam and the brothers had no option following death threats from clients. He also noted that the brothers are ready to co-operate with authorities regarding investigations towards the alleged hack.
There are also conflicting reports about the exact amount of bitcoins stolen from Africrypt.Some investors revealed that although the amount lost was considerable, it was less than the $3.6 billion suggested by initial reports. Afrcrypt had previously displayed on its website in January 2021 that it was managing around $100 million worth of Bitcoins.
It is always advisable to wait until new information is available to know whether it is an exit scam. However, all signs point to a major scam carried out by the Cajee brothers.
Do you think it is an exit scam or a hack attack claimed by the Cajee brothers?
