- ShapeShift founder breaks down inaccuracies published about the company in the Wallstreet Journal
- Inexperience about blockchain plagues journalism
- CEO also counters that they have been working with financial agencies to combat crimes in the crypto space
On the 28th of September the Wall Street Journal (WSJ) published an article titled “How Dirty Money Disappears Into the Black Hole of Cryptocurrency.” The article made some allegations against ShapeShift, a leading digital asset exchange that they had been involved in a money laundering case estimated to be worth $70,000.
ShapeShift’s CEO, Erik Voorhees quickly fired back with a recent blog post on cryptocurrency transactions where he accuses WSJ reporters of having published a “factually inaccurate and deceptive” report.
How It All Started
Voorhees confirmed that these journalists had worked with ShapeShift for a period of 5 months under what he referred to as “false pretense.” He, alongside other members of the company had been open-minded, accommodation and giving answers to questions from them. However, not a single word of those discussions was voiced in their report, but rather, they went with baseless assertions for some of their assertions about how the platform worked.
Voorhees Fires Back
Countering the allegation, Voorhees points out that even if it were true $70,000 a tiny fraction of the exchange’s total volume for the period in question. ShapeShift’s CEO clarified that the platform was a “crypto-to-crypto, non-custodial platform,” stating that the platform only exchanges/swaps company’s assets for users’. Also, the ShapeShift platform does not deal in fiat.
He also notes that the company had a policy of providing relevant information to regulatory/financial authorities. Also, they work hand-in-hand with other crypto exchanges to identify illegal transactions and blocking criminal operations on the platform.
Prior to this time, ShapeShift had immediately responded to the publication some few hours after it was released through the company’s Chief Legal Advisor, Veronica McGregor. Veronica had commented at the time that the report was aimed at criticizing ShapeShift.