The collapse of FTX, a cryptocurrency exchange, has heightened the level of uncertainty around the trading of the global crypto market. Participants in the market are concerned due to developing issues with Crypto.com, another cryptocurrency exchange.
ETH Transaction Disarray by Crypto.com
As per sources, investors withdrew their money in large amounts from Crypto.com over the weekend after CEO Kris Marszalek admitted to managing the $400 million transaction improperly. He said the money had been sent to the incorrect account type on another exchange.
On October 21, 2022, a large Ethereum transaction for $400 million was reported on Twitter. They used a few other transactions between other modest platforms and exchanges as supporting documentation. Marszalek has asserted that it was an accident and that the tokens have been found in the interim.
Investors' faith hasn't been restored by Crypto.com CEO statements, though. In the past week, the price of Cronos, the company's native token, has fallen by a staggering 50%. After FTX's demise, this poses a serious threat to the market for digital assets.
Decrement of CRO's Price
The CEO of Crypto.com has been invited to speak live on YouTube to address any questions or rumors regarding the transactions reported on the platform. A lot has transpired during the past week, he writes, and he wants to address that.
A Crypto.com spokeswoman noted that the platform saw higher levels of activity. But he insisted that the assets exactly matched the deposits made by customers. He continued by saying that changes in deposit and withdrawal activities have no impact on the quality of our services.
Over 10% less has been paid for Cronos in the previous day. As of the time of publication, it is trading for an average price of $0.063848. The 24 hour trading volume for CRO has increased by 175% to $255 million.
According to a report from Whale Alert, a whale wallet added 200 million CRO tokens in a single transaction. Cronos tokens valued over $11.5 million were transferred from crypto.com.