Kris Marszalek, CEO of cryptocurrency exchange, Crypto.com, tweeted on Friday that the company is working with Nansen to create a simple dashboard to show “a full audited proof of reserve.”
The majority (31%) of the reserve is held in Bitcoin. However, they hold nearly $600 million (21.95%) in Shiba Inu SHIB/USD, a highly speculative ETH-based meme token. SHIB tokens are the second largest category in reserve.
In addition to this controversy, a twitter user noticed that Crypto.com transferred by mistake the majority of its ETH holdings to Gate.io instead of their own cold wallet.
We respect Crypto.com’s desire to stay ahead of the wave of skepticism toward exchanges that could follow FTX Exchange’s catastrophic decline. It is a good time for all crypto projects to make sure they are keeping a clean house and maintaining transparency. Even if disclosure might raise questions of its own.
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