Auditors are now running away from cryptos
Auditors are now running away from cryptos, LinkedIn News reports.
Mazars Group, a global accountancy known for its work with Binance and other cryptocurrency exchanges, will no longer provide proof-of-reserves reports for the crypto sector. As wariness of the industry has ramped up following the collapse of FTX, digital asset exchanges have held up proof-of-reserves reports to support their claims of financial solvency. However, critics note that these reports are not comprehensive audits and reflect only assets — not liabilities. The decision by Mazars to drop its crypto clients is a further blow to the sector's credibility.
Mazars published proof-of-reserves reports this month for Binance, Crypto.com and KuCoin, but all three reports are now unavailable online. The firm said its decision was “due to concerns regarding the way these reports are understood by the public.”
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