As the ongoing crypto bloodbath has brought many crypto-oriented businesses on the verge of collapse, general sentiments are pointing toward Crypto.com as the next victim.
While many other crypto businesses are making changes in their policies to prevent platforms from the drastic effects of the current macro-headwinds, rumors arose that the crypto exchange has imposed restrictions on withdrawals. However, as it should be, Kris Marszalek, the CEO at Crypto.com, took to Twitter to calm the exchange’s community that the management imposes no “special deposit promotion” and no other withdrawal restrictions.
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Our withdrawals policy is the same as it always was. We didn’t implement any new restrictions. We run no special deposit promotions (and we make sure all regular ones that we do run are profitable).
The CEO further highlighted in the same Twitter thread that the platform has a strong position in the crypto-space and called these rumors “false clickbait.” He added:
People are free to FUD all they want, but this doesn’t change the facts: http://Crypto.com will be a top5, maybe even top3 crypto platform globally by revenue this year. Only two other players have a higher user count than us.
In the same thread, he urged that the company has made enough money in the previous years’ scaling that it can afford to handle low trading volumes and revenue in this challenging time today. And the company has decided to apply unit economics to adopt safety measures.
The recent move of the platform to reduce its workforce by 260 employees, which equated to 5% of the whole staff, refers to the unit economics to minimize its cost to survive in the long-laster bearish.
In the series of tweets, Kris expressed his opinion on the current market situation and called ongoing crises a cleanup in the industry to remove poor crypto projects. He said:
The industry will be better off after sub-scale companies with broken business models are out. There will be some short-term pain, and we’ve seen some of it play out already, but the whole space will emerge stronger because of this much-needed cleanup.
Similarly, in May, the exchange removed Dogecoin and Shiba Inu from its earn rewards programs alongside other 13 cryptocurrencies. However, the exchange’s policies for Bitcoin, Ethereum, etc., remained unchanged. Furthermore, without narrating the reason behind unlisting these tokens, the company announced via tweet that they also revised the rates for five stablecoins.
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Like other fellow coins that plummeted significantly, the native token of crypto.com, Cronos (CRO), has lost around 80% in a year. However, at the time of writing, CRO has gained over 3.5% in the last day, trading at $0.117.
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Saeed Hassan is a finance and cryptocurrency enthusiast who has been writing about Bitcoin and the blockchain since 2016. He is an author at Bitcoinist and NewsBTC, and he also runs his blog, where he writes about all things related to crypto and finance. In his spare time, Saeed enjoys playing cricket and watching Marvel series.
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