Crypto.com, one of the world’s largest cryptocurrency exchanges and the world’s largest network of credit cards with crypto cashback (through the Cronos token, CRO), is, according to several industry experts, experiencing a “banking experience” that appears to be a failure to deal.
If this is confirmed, the reason will be very serious: it means that Crypto.com does not actually hold the cryptocurrencies deposited by customers.
Many industry experts talk about impending bankruptcy, if only for hours. Meanwhile, the CRO token is collapsing, indicating that users are trying to dump the token en masse and/or the company is selling tokens in the marketplace for cryptocurrency or cash to fulfill withdrawal requests.
Tweets and social messages in the last few hours on Crypto.com bankrun
Below is a series of tweets and social posts regarding the story. Comments are split between finding a bank (running to the counters) in progress and calling for them not to hold their cryptocurrency on the exchange. It is clear that all these messages have the effect of contributing to the polarization of the phenomenon they describe
People are currently trying BANKRUN on CRYPTO .COM, let’s see if they survive without making temporary withdrawals.
– gurgavin November 13, 2022
Withdraw your cryptocurrency from #CryptoCom Exchange to be safe.
– Mr. Whale 🐳 whalechart.org (@WhaleChart) November 13, 2022
GET YOUR MONEY BACK FROM CRYPTO(.)COM NOW!
– Crypto Rover (rovercrc) November 13, 2022
There is no shortage of comments mentioning how, in the face of the banking phenomenon, traditional banks may be pushed into bankruptcy by their customers:
People kind of trust them blindly #CryptoCom # FTX Banks pic.twitter.com/OQ2CJHS6UC
– Rickyedgo.crypto (@Ricky_edgo) 12 November 2022
We can attest firsthand that out of two withdrawal requests made during this afternoon, November 13, 2022, only one request from Ethereum succeeded while the one in Bitcoin did not.
Remember that it is never a good idea to leave cryptocurrencies in exchange wallets (in fact they should always be kept in a private and local wallet), we will continue to follow the development of the story.
About 6 hours after the request, the Bitcoin withdrawal was successful, thus operations slowed down but Crypto.com is actually able, for the time being, to filter out withdrawal requests.
BTC withdrawal still in progress
Two hours after the transfer request, the bitcoin withdrawal from the account we have access to has not been performed. On the Crypto.com app, the same command is “pending”.
ETH withdrawal confirmed in due course.
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