Background

During January 2021 in accordance with the terms of a share purchase agreement, GBX OÜ was sold by the GSX Group to MGF Capital (the operator of Mine Digital, an Australian cryptocurrency k exchange). This sale included all customer in balances held at the GBX OÜ exchange.

As per the decision of the new owners, GBX OÜ ceased its operating activity after the sale to MGF Capital. MGF Capital had intended to re-commence GBX OÜ’s operating activity with a new exchange technology platform that it was developing. The delivery of the new exchange technology platform never materialised. 

It is understood that, during 2022, GBX OÜ ceased to be an Estonian licensed cryptocurrency exchange (being licensed by the Estonian Financial Intelligence Unit (FIU) as a virtual currency against fiat currency exchange service provider and virtual currency wallet service provider under Estonian Money Laundering and Terrorist Financing Prevention Act). 

On or around 28 September 2022, the GSX Group discovered that Mine Digital Australia had appointed an administrator in connection with what the GSX Group understood to be the commencement of its liquidation proceedings. Following the discovery of the appointment of an administrator for Mine Digital Australia, the GSX Group reached out to the GBX OÜ directors to seek information as to whether the apparent liquidation proceedings of Mine Digital Australia would have any impact on GBX OÜ. During these discussions it was clear that there was a risk of GATE tokens, belonging to customers of GBX OÜ, becoming locked up/liquidated as part of the liquidation proceedings of Mine Digital Australia.

On 29 September 2022, following request from the GSX Group, based on the rationale to protect the Customer GATE Token element of the Customer Tokens from the Mine Digital Australia administration process, a GBX OÜ director executed a transmission of circa 80 million Customer GATE Tokens from a Mine Digital Australia wallet to a wallet controlled by GATENet.

Balances of other customer assets such as BTC, ETH, USD etc. were NOT transferred to GATENet. Those balances remained with GBX OÜ, and GATENet is unaware of their current status. Currently GBX OÜ is no longer active and Mine Digital has been through liquidation proceedings.

Token Return Process

Over the course of the next few weeks, GATENet will be attempting to contact GBX OÜ customers with a GATE tokens balance of 1000 and above, in order to have their tokens returned to them. This contact will be done using the registered email addresses from the GBX Exchange platform. GATENet will be subsidising the gas cost in ETH to return these tokens to the customers they belong to.

Note: Holders with larger balances may be required to prove their identity before tokens are sent.

If you believe you were a customer of GBX OÜ and had a balance of 1000 or greater GATE tokens and have not been contacted by GATENet, you can contact us at [email protected] to make enquiries.

As a reminder, during the leadup to the shutdown of the GBX platform, and for a period past this time, users were offered multiple options for their assets:

1. Have assets transferred to Liquid Exchange,
2. Have assets withdrawn to themselves,
3. Leave assets to have them transferred to the new Mine Digital platform (which never went live).

END