“Matt Damon Crypto.com’s Coin Is in Free Fall”
November 14, 2022
“…For some Crypto.com could be the next cryptocurrency company to face a severe liquidity crisis as the collapse and bankruptcy of FTX is prompting greater scrutiny in the digital assets industry. But the Singapore-based exchange’s CEO Kris Marszalek said the company’s exposure to crypto exchange FTX was minimal and had a “tremendously robust balance sheet.”
“We never needed to raise any funds,” he said during an interview hosted on its YouTube channel…
Marszalek claimed Crypto.com has an exposure of under $10 million to FTX when the firm went bankrupt on Nov. 11. Other investors have reported larger losses: venture capitalist Sequoia Capital said it lost $210 million to FTX, while the Japanese firm Softbank has quantified its losses at $100 million.
The chief executive officer said that Crypto.com had in the past sent $1 billion to FTX for the purchase of stablecoins, which are digital currencies whose prices move very little. But that the company had recovered almost all this sum before the bankruptcy of FTX…
But Crypto.com is facing massive sell-offs in its Cronos (CRO) token, which is in free fall and down 41.6% over the last seven days, according to data firm CoinGecko. CRO has plummeted by 92.8% from its all-time high as investors are worried it could be the next crypto company to fail due to a lack of liquidity…”