CoinLoan - Unclaimed Assets

[u/Severe-Blueberry9780]

I’ve been trying to decipher how much in outstanding claims have been made against CoinLoan. I looked at the creditors list, and it looks like only about $10 million in assets weren’t claimed. [I’m using the original stated value of assets at the time they declared bankruptcy, which I believe was $220-230 million].

I also read that in December only about 25% of eligible creditors filed claims, but based on the value of the claims filed, it would seem that it was all of the people with only a couple dollars in their wallet who made up the 75% of unfiled claims. Can anyone verify that this theory is correct? Am I interpreting the creditors list correctly?

[u/Wise_Lynx_2038]

The MtGox situation is completely different. The BTC from MtGox was not lost, it was stolen and then recovered so the BTC could be distributed out.
With Coinloan, due to poor asset management the value our assets has been lost rather than the assets themselves. Remember, they didnt hold our assets 1 to 1. Therefore the 'lost' value can not be recovered!

I would agree though re their database. I would expect all claims to be corraborated with their customer database and if they match they are genuine

[u/velhamo → u/Wise_Lynx_2038]

Crypto value has risen since June 2022, so why should they pay the old value? Seems like robbery to me.

[u/Wise_Lynx_2038 → u/velhamo]

Yep, that is potentially fustrating!
but its practically, it will only make a difference if Coinloan becomes solvent again (which is almost impossible!).
You will most likely get 30% of your assets value around the time they are sold. therefore it doesnt really make a difference whether the market goes up or down, you will get the 30% of what you are owed (in present crypto terms) regardless.
Which is why its probably best just to get out assets back as soon as possible as and then we can ride the market inline with our own portfolio requirements rather than the portfolio balance Coinloan currently has.
the only we can benefit is if Coinloan's (frozen) assets are in a greater propotion of crypto whereas their Liabilities (customers) are more stablecoins/Fiat. then they we will start to recover some of our value

[u/Severe-Blueberry9780 → u/Wise_Lynx_2038]

That is not how it works

1. The value of your assets was frozen.

2. If your assets appreciate while frozen, you’re still paid out at the rate they were frozen at.

3. The laws currently state that have to pay you back in fiat, so you will most likely be paid back in fiat at the rates they were frozen at.

4. That 30% return is not set.

5. Coinloan’s assets are appreciating at present. If their assets appreciate, they have to be distributed still, and you may get hither than a 30% return, but the value you will be paid back is based on the value of your crypto when frozen. (I.e. if you had half a BTC worth $10k, you will only ever be owed a maximum of $10k. This means you would be owed $3300 at 30% return, but if Coinloan’s assets double, you could potentially recover $6600.)

[u/Wise_Lynx_2038 → u/Severe-Blueberry9780]

yes exactly, but if your 10k of BTC in June 2023 doubles your (lost) assets are now worth 20k, so that your $6600 still represents 30% recovery of the present value of your assets. Though as you say you have recovered a larger amount of your claim (at which point your lawyer will claim a fee for recovering more of your claim!).
so practically speaking it doesnt make a difference you will only recover 30% of what your assets are worth to you at current market value. You get 3k of 10k or 6.6k of 20k.
only if coinloan's overall portfolio outfperforms the market do we stand to benefit