Mazars Affirms Backing of Major Tokens on Crypto.com

An independent audit firm has confirmed that Crypto.com maintains a 1:1 backing on customers’ crypto assets deposited in the Centralized Exchange (CEX).

Crypto.com published a copy of the report to their new Proof of Reserves website on Dec. 9. The new landing page is dedicated to transparency for the exchange.

“We calculated the % reserve ratio per asset class by dividing the In-Scope Assets as per the Asset Balance Reports by the In-Scope Assets as per the Customer Liability Report. We found that the assets were fully reserved as listed in the below Appendix,” according to the Mazars Group report.

The same firm Mazars also produced a similar report for Binance, showing that CEX, too, has reserves greater than customer liabilities.

The Mazars report for Crypto.com follows similar procedures to the report for Binance. The South African firm notes that the report is a snapshot of reserves and liabilities, within a limited scope and is not a true “audit” of the company’s entire financial position.

Still, the verification of both CEXes’ Proof of Reserves is a step toward greater transparency and assurance of customers’ safety, following the collapse of Sam Bankman-Fried’s FTX empire. Since the emergence of the myriad FTX and Alameda Research scandals (which recently ensnared the CEO of crypto news site The Block), the CEOs of both Crypto.com and Binance have been vocal in defending their companies’ business models and standards.

Crypto.com has set up a webpage where customers can verify the safety of their deposited funds.

“Providing audited Proof of Reserves is an important step for the entire industry to increase transparency and begin the process of restoring trust,” Crypto.com CEO Kris Marszalek said. “Crypto.com is fully committed to providing customers around the world a safe, secure, and compliant means of engaging with digital currencies.”

What is Crypto.com:

Crypto.com is a cryptocurrency exchange that started operating in 2016. It has extended its reach to over 10 million users within 5 years. The platform was founded by Bobby Bao, Gary Or, Kris Marszalek, and Rafael Melo, with its headquarters in Singapore. Crypto.com projects include the Crypto.com Visa card (one of the world’s largest cryptocurrency card programs), the exchange, the Cronos blockchain, and a DeFi wallet. The exchange operates across 3 continents, the Americas, Europe, and Asia.

Where to find Crypto.com:

Website | Twitter | Medium | Linkedin | Discord | Telegram | Reddit | Kakao |

What is Binance:

Binance positions itself as the world’s leading blockchain ecosystem and crypto-asset infrastructure provider with a financial product suite that includes the largest digital asset exchange by volume. The Binance platform aims to increase the freedom of money for users and features a comprehensive portfolio of crypto-asset products and offerings, including trading and finance, education, data and research, social good, investment and incubation, decentralization, and infrastructure solutions.

Where to find Binance:

Website | Twitter | Discord | Telegram |