Arthur from Montreal asks
is QuadrigcaCX safe?
Our initial answer was probably yes but it helps to dive deeper into the exchange, learn more about the company and what others are saying about it. After doing some research we are left with more questions than answers.
Unanswered questions on QuadrigaCX Facebook page
Looking at some comments from users on Facebook, it makes us think another exchange should be considered than QuadrigaCX. Here are some comments worth paying attention to:
Posted by James on December 8th, 2017
How come your prices always lag behind the other exchanges and are always showing a lower price? You are frequently 10-15% lower. I don't understand why. Also your numbers are often rounded up or down, which seems odd and not true market data.
Posted by Don on December 8th, 2017
Sam (censored). Did you get your money yet? They just straight up took my deposit. Went from pending to gone. No one at quadriga has even gotten back to me about it. I am starting to think everyone who deals with these guys are going to get screwed. I wish I saw this post before I started. Now all i want is to get my deposit back and out of Quadriga as fast as I can!!!! If they do not get either of us our cash back, do you want to join me on going to the news about it? i am not going to be taken advantage of without putting up a fight and warning others. They would love a story about bitcoin being a sham.
Other posts have been replied to but some of these complaints seem to be unanswered. Keep in mind that it's just 1 day after posting so the company should be given some time to clear this up. Otherwise we haven't found much of these complaints elsewhere yet.
About QuadrigaCX Exchange
From their website:
QuadrigaCX is a Canadian Cryptocurrency exchange platform, with offices in Vancouver, BC. Our goal is to provide an easy to use platform to simplify the process of buying and selling Bitcoins.
Looking them up on LinkedIn shows Duane Seamans as the founder and CEO of mybtc.ca but also director of marketing for QuadrigaCX.
Founder & CEO at MyBTC.ca Toronto, Canada Area Current: Director of Marketing & Operations at QuadrigaCX
The only odd thing that comes up is the connection between these 2 companies and in trying to research how users have been treated by either company or website, we find this complaint which seems to have been solved swiftly
However the odd discussion that takes place is between users QuadrigaCX and myBTCca where QuadrigaCX comments that myBTC is a reputable company.
Mybtc is a very reputable company. I would advise contacting them directly rather than posting on a public message board.
We don't know the relationship between these 2 companies but think it should have been disclosed.
Otherwise we don't know much about the company.
Are QuadrigaCX covered by the CDIC?
QuadrigaCX operates more like a company than a bank so your money is not insured or protected by the CDIC which for some people is unnerving. If you deposit with them or have FIAT currency stored in an account then in theory they would have that money in the bank, but as for cryptocurrencies, if they got hacked then you would be at risk just like any other exchange. In general it's advised that users store their cryptocurrencies on a cold storage device like a paper wallet, computer or phone wallet app or on a USB key or USB wallet like the Nano Ledger S for example.
Overall you wouldn't typically store your money with an exchange unless you were holding it for a future transaction. When you exchange money for any cryptocurrencies like Bitcoin, Bitcoin Cash or Ethereum, you are free to transfer these to any other online wallet, exchange, desktop wallet or paper wallet.
QuadrigaCX discussion on Reddit
Reddit is one of the better places to find all sorts of discussions on any topics especially cryptocurrencies. Just take Reddit with a grain of salt as nobody knows which moderators have any special interest or deals with any companies. What you'll want to use Reddit for are to research if any company has ripped off any users where Reddit is one of the common places where people will voice their problems with any company.
Should Canadians use QuadrigaCX exchange?
QuadrigaCX might be ideal for their ability to accept Interac and accept Canadian bank transfers. We are not aware of many complaints of users treated badly with the exception of a few complaints on Facebook and we'll await a response from the company or users can go on their Facebook page to see if these have been sorted.
It does appear the exchange rates offered for users are not ideal compared to larger exchanges like Kraken so the comparing points are you can fund your account in theory faster on QuadrigaCX but you'll not get the best rates for exchanging.