Prime Trust lost access to its old wallet in 2021 and misappropriated customer assets to repurchase cryptocurrency

ChainCatcher news, DB NEWSWIRE tweeted that the Financial Institutions Division (FID) of Nevada, USA, stated that Prime Trust lost access to old wallets in 2021 and used customer assets to repurchase cryptocurrencies. Prime Trust owes customers $85.67 million in fiat and $69.509 million in digital currency, but currently holds only $2.904 million in fiat and $68.648 million in cryptocurrency.

Previous news, on June 23, the Nevada Financial Institutions Division (FID) ordered Prime Trust to cease all activities that violate Nevada state regulations, claiming that the company's "overall financial condition has severely deteriorated," with operations facing huge deficits and potentially being insolvent. (Source link)