Crypto Exchange Customers Received $7.2 Million Instead of Refund of $68

Crypto.com, one of the major crypto exchanges, mistakenly transferred around $7.2 million to an Australian customer instead of a refund of $68 (approximately Rs 5409). The exchange did not come to know about this mistake for seven months and by the time it came to know about it, a part of this amount had been spent.

A local media report said that in May last year, such a huge amount was transferred by typing the account number instead of the payment amount of an employee. Subsequently, this mistake was detected during the audit in December. In this case, the customer, Thevamanogari Manivel, instead of reporting the wrong refund to the exchange, transferred the money to a joint account and spent around $900,000 to buy a luxury apartment for his sister. Crypto.com has filed a lawsuit in the Victoria Supreme Court to recover its money from the customer.

The exchange had obtained an order to freeze Thevamanogari’s account. The court has ordered the exchange to return the amount along with interest by selling the apartment to Thevamanogari. The next hearing in the matter will be held in October. The exchange declined to comment.

The prices of cryptocurrencies have come down significantly over the past few months due to slowdowns and some other reasons. This has also affected the firms associated with this segment, including the exchanges. Many crypto firms are taking measures such as layoffs to reduce costs. The selloff in the crypto market has also increased difficulties for the DeFi segment. This is hurting the lending firms and making it difficult for them to stay in business. The decision to ban the transactions of the clients of Celsius Network, one of the big crypto lending firms, is being investigated by some regulators. At the end of last year, the firm had secured funding of about $750 million. It offers interest to customers depositing its cryptocurrencies and lending cryptocurrencies to earn returns.

Download the Gadgets 360 Android App and follow us on Google News for the latest tech news, smartphone reviews and exclusive offers on popular mobiles.

Related news

Leave a Comment