Around 20% of Crypto.com's proof of reserves consist of meme coin Shiba Inu
Nov. 11, 2022 6:10 PM ETSHIBA INU (SHIB-USD), BTC-USD, ETH-USD, USDC-USD, USDT-USDBy: Max Gottlich, SA News Editor305 Comments
- Cryptocurrency exchange Crypto.com provided a set of disclosures Friday that showed around 20% of its ~$2.82B in total assets were in Shiba Inu (SHIB-USD), a popular and highly volatile meme coin that uses the Japanese Shiba Inu dog breed as its mascot.
- The crypto platform's preliminary audit comes as the emerging industry pushes crypto exchanges to release proof of their reserves, or the backing of customer holdings on a platform, in an effort to provide more transparency following the abrupt meltdown of Sam Bankman-Fried's FTX crypto exchange.
- Crypto.com's token allocation, which was developed by blockchain analysis firm Nansen to be a viewable dashboard showing its wallet addresses, was most heavily weighted in bitcoin (BTC-USD), representing ~31% of assets, followed by ethereum (ETH-USD), at ~17%, USDC (USDC-USD) (~7%) and tether (USDT-USD) (~5%). That being said, SHIB was the company's second-biggest holding.
- The week-long FTX fiasco, meanwhile, has impacted Crypto.com in which the company reportedly had to suspend stablecoin USDC and USDT deposits and withdrawals on the Solana network.