No products in the cart.
- Latest
- Trending
ADVERTISEMENT
Hedge fund manager Michael Barry, who famously predicted the 2008 financial crisis, said audit issues on cryptocurrency exchanges like Binance and FTX began when he started using a new kind of credit default swap. says it’s the same. “Our auditor was learning on the job,” he explained, adding, “Not a good thing.”
Michael Burry, a well-known investor and founder of investment firm Scion Asset Management, said Friday that proof-of-reserve (POR) audits of cryptocurrency exchanges, including Binance and bankrupt exchange FTX, are meaningless. I said yes.
Burry is best known as the first investor to foresee and profit from the US subprime mortgage crisis of 2007-2010. A movie starring Christian Bale.
Comments to Accounting Firm Mazars Group At rest Burry tweeted:
This is the problem. When I started using a new kind of credit default swap in 2005, our auditors were learning on the job. That’s not good. The same goes for FTX, Binance, etc. Audits are essentially meaningless.
Barry’s tweet paper According to Bloomberg, the French accounting firm has said it is concerned about heavy media scrutiny and that the market is not reassured by the reserve proof reports published so far, including Binance, Crypto.com. He explained that he has paused work at a cryptocurrency company. and Kucoin.
news continued criticism From the CEO of rival cryptocurrency exchange Kraken, Jesse Powellwho recently condemned Binance POR audited by Mazars.More than $3 billion in funding this week withdrawn from binance.
Addressing concerns about his exchange’s POR in an interview with CNBC on Thursday, Binance CEO Changpeng Zhao (CZ) also said most accounting firms don’t know how to audit cryptocurrency exchanges. claimed.
Executives questioned why Binance didn’t use one of the Big 4 accounting firms (Deloitte, EY, KPMG, Pricewaterhousecoopers (PwC)) to audit its books, and why the crypto firm failed to provide files and data to auditors. I was asked if Make it comfortable to give the stamp of approval. The Binance boss simply replied:
Many of them don’t even know how to audit crypto exchanges.
What are your thoughts on Michael Burry’s comments on the crypto exchange audit? Let us know in the comments section below.
image credit: Shutterstock, Pixabay, Wiki Commons
Disclaimer: This article is for informational purposes only. This is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any product, service or company. Bitcoin.com It is not intended to provide investment, tax, legal or accounting advice. NEITHER THE COMPANY NOR THE AUTHOR WILL BE LIABLE, DIRECTLY OR INDIRECTLY, FOR ANY DAMAGE OR LOSS ARISING OR ALLEGED TO OCCUR ARISING OUT OF OR RELATING TO YOUR USE OF OR RELIANCE ON ANY CONTENT, PRODUCTS, OR SERVICES DESCRIBED IN THIS ARTICLE. We are not responsible.
