A few days after Binance, Crypto.com becomes the latest cryptocurrency exchange to publish its proof of reserves, the latter ensuring the collateralization of assets deposited on the platform by its customers. Thus, Crypto.com reveals that the cryptocurrencies concerned are all insured at least up to 101% in its reserves.
Crypto.com’s reservations documented
Friday, December 9, Crypto.com released a statement reporting an audit of its reserves by Mazars, the same firm that previously screened Binance’s Bitcoin (BTC) reserves. Remember that Mazars is one of the largest audit firms in the world, which also excels in business consulting and international taxation.
To carry out these checks, Mazars compared the on-chain addresses of wallets officially held by Crypto.com with customer balances of the platform.
Thereby, the assets audited by Mazars are all collateralized at least 101%as shown in the screenshot below:
Cryptocurrency concerned (left) and its percentage of collateralization (right)
Kris Marszalek, CEO of Crypto.com who announced a month ago already that the audit was underway in response to rumors about the platform, underlined the importance of the publication of these reservations:
“Providing evidence of audited reserves is an important step for the entire industry to increase transparency and begin the process of restoring trust. Crypto.com is fully committed to providing customers around the world with a safe, secure and compliant way to engage with digital currencies. »
Note that on the newly created page dedicated to explaining the process of auditing its proof of reserve, Crypto.com claims to work with the firm Mazars in order to extend the spectrum of assets scrutinized on its platform. This includes, among others, blockchains Cronos (CRO) and VeChain (VET).
👉 What is Proof of Reserves and can it restore trust in centralized platforms?
Ledger Stax, designed for NFTs by the creator of the iPod
🔥 The world leader in crypto security
The usefulness of evidence of reservations
Condition sine qua non to regain investor confidence, cryptocurrency exchanges all saw each other obliged to publish their evidence of reserves in order to ensure maximum transparency.
In order to understand a little more about how these proofs of reservations work, we have written an article dedicated to this subject which will allow you to learn how to check these reservations yourself.
Crypto.com is the latest exchange to provide audited reserves, shortly after rival Binance. Kraken, Coinbase or even Gate.io, have for the most part revealed their respective audits following the collapse of FTX early last month.
👉 Read also – The ex-CEO of The Block media was financed by Sam Bankman-Fried
Progress in the world of cryptocurrencies with Cryptoast experts 📘
Source: Crypto.com
Newsletter 🍞
Receive a summary of crypto news every Monday by email 👌
What you need to know about affiliate links. This page presents assets, products or services relating to investments. Some links in this article are affiliated. This means that if you buy a product or register on a site from this article, our partner pays us a commission. This allows us to continue to offer you original and useful content. There is no impact on you and you can even get a bonus by using our links.
Investments in cryptocurrencies are risky. Cryptoast is not responsible for the quality of the products or services presented on this page and could not be held responsible, directly or indirectly, for any damage or loss caused following the use of a good or service highlighted in this article. Investments related to crypto-assets are risky by nature, readers should do their own research before taking any action and only invest within the limits of their financial capabilities. This article does not constitute investment advice.
AMF recommendations. There is no guaranteed high return, a product with high return potential involves high risk. This risk-taking must be in line with your project, your investment horizon and your ability to lose part of this savings. Do not invest if you are not ready to lose all or part of your capital.
To go further, read our Financial Situation, Media Transparency and Legal Notices pages.
Passionate about the world of decentralized finance and the novelties brought by Web 3.0, I write articles for Cryptoast to help make blockchain more accessible to everyone. Convinced that cryptocurrencies will change the future very soon.
Maximilien Prue
502 items
