Two Australian cryptocurrency schemes have collapsed within a week leaving hundreds of investors across the country potentially owed more than $150 million.
Those investors had sought the return on their investments in the fund via a redemption process. Some investor requests for redemptions were met by the fund while others were still being worked through at the time of the court action, raising concerns that some investors may be negatively affected by the shutdown of the group’s operations. Balanian’s legal team declined to comment as the matter was before the court but is preparing a full response to the allegations.
Separately, the corporate watchdog announced on Friday that receivers from McGrathNicol had been appointed to blockchain mining companies NGS Crypto, NGS Digital and NGS Group Ltd. The groups are not related to Australian companies NGS Group Pty Ltd or NGS Super.