Crypto.com Releases Proof of Its Reserves As Digital Asset Sector Reckons With Post-FTX Suspicion
As the shell-shocked crypto sector continues to reckon with the shrapnels of FTX’s implosion, more exchanges have been attempting to prove their reserves can withstand the types of bank runs that dragged Sam Bankman-Fried’s bankrupt company into ruin.
Singapore-based digital asset exchange Crypto.com is the latest on that list.
The company released audited proof of reserves on Friday that indicates customers’ crypto assets are backed 1:1 on the platform. The international firm Mazars Group conducted the audit.
Says the exchange,
“Mazars Group compared the assets held in on-chain addresses proven to be controlled by Crypto.com with customer balances through an auditor-overseen live query of a production database as of Dec 7th.”
Top crypto exchange Binance released its Bitcoin (BTC) proof of reserves in late November, and Coinbase publicized its king crypto reserves earlier that month.
Crypto.com had faced public headwinds of its own in recent months amid the enduring digital asset bear winter. In June, CEO Kris Marszalek said on Twitter that the exchange had plans to lay off 260 people, or about 5% of the company’s workforce.
Last month, Crypto.com caught the attention of digital asset sleuths after transferring about 285,000 Ethereum (ETH), worth over $347 million at the time, to fellow exchange Gate.io, before being returned.
Marszalek clarified that the transaction was a mistake.
“It was supposed to be a move to a new cold storage address, but was sent to a whitelisted external exchange address. We worked with Gate team and the funds were subsequently returned to our cold storage. New process and features were implemented to prevent this from reoccurring.”
Don’t Miss a Beat – Subscribe to get crypto email alerts delivered directly to your inbox
Check Price Action
Follow us on Twitter, Facebook and Telegram
Surf The Daily Hodl Mix
 
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Featured Image: Shutterstock/Yurchanka Siarhei/Mingirov Yuriy
Credit: Source link
Comments are closed.