New Zealand-based ethical travel company, We Are Bamboo, used customer funds from prepaid trips for active crypto trading, resulting in the company’s bankruptcy and leaving customers without refunds. Approximately $2 million in customer funds were traded over two years, leading to a complete loss. Customers lost around $800,000 due to investments in fraudulent platforms. Complaints have been lodged with the police, and the investigation is now with the Commerce Commission and Serious Fraud Office.
We Are Bamboo invoked the “force majeure” clause to deny refunds, protecting the company from creditor liabilities. Customers from the United States, Britain, Canada, and Australia were affected. The loss of customer funds has damaged public perception of cryptocurrencies, and affected customers are seeking justice.
Liquidators are investigating the actions of We Are Bamboo’s management and exploring avenues for potential recovery. This incident highlights the need for transparency and responsible handling of customer funds in the integration of cryptocurrencies in business operations. The impact on public perception and trust in cryptocurrencies is significant. Affected customers hope for a resolution and fair compensation, although the timeline for settlement remains uncertain. New Zealand has enforced stricter crypto controls, affecting transactions and account openings for crypto trading platforms and industry players.
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