Amid the liquidity crunch affecting the FTX cryptocurrency exchange, Crypto.com has published its proof of reserves in what the platform terms as promoting transparency.
Crypto.com announced that an interim audit indicates that its reserves stand at approximately $2.9 billion, the exchange said in a blog post on November 11.
According to the exchange, part of the reserves entails about 53,024 Bitcoins (BTC) and 391,564 Ethereum (ETH) while promising to publish full audited results in the future. Notably, the company posted the reserves after hitting the 70 million users milestone.
The number of holdings was also confirmed by Crypto.com CEO Kris Marszalek in a tweet on November 11.
“This is a critical moment for the entire industry. Transparency is more important than ever, and the safety and security of users and their funds remain the priority. It requires total and collective commitment,” the exchange said.
Other crypto exchanges to publish reserves
Previously, Marszalek had promised to publish the proof of reserves while challenging other cryptocurrency firms to follow suit.
“We share the belief that it should be necessary for crypto platforms to publicly share proof of reserves and Crypto.com will be publishing our audited proof of reserves,” he said in a tweet on November 10.
Initially, the world’s largest cryptocurrency exchange Binance published its proof of reserves in the wake of the FTX saga. According to Binance, the exchange has reserves worth $47 billion, including 475,000 BTC, 4.8 million ETH, 17.6 billion, and USDT, 21.7 billion, among others.
Binance’s decision to publish proof of reserves emerged after the exchange agreed to buy out FTX. However, Binance withdrew the deal citing reasons beyond its control.
It is worth noting that after FTX’s near collapse, crypto exchanges, including Gate.io, KuCoin, Poloniex, Bitget, Huobi, OKX, Deribit, and Bybit, stated that they would be conducting reviews to determine their total value of reserves.
Source: https://finbold.com/crypto-com-ceo-publicly-shares-exchanges-holdings-as-platform-hits-70-million-users/