Binance and Kucoin Tap Same Auditor
Notably, Kucoin also hired Mazars to verify its reserves in line with the trend among crypto exchanges. Mazars’ audit on Kucoin was not published at press time. Sam Bankman-Fried invested in Kucoin via FTX.
As the People's Exchange, we place the safety and security of users' funds as our top priority.
And so, we are proud to announce that #KuCoin has partnered with Mazars, a leading international audit, tax and advisory firm to increase transparency!
Third-party audits like these have become almost mandatory for crypto exchanges in particular following the FTX debacle. Sam Bankman-Fried’s exchange and his trading outfit Alameda allegedly defrauded users of their assets and filed for bankruptcy after incriminating evidence was leaked to the public.
The resulting fallout incentivized other centralized trading platforms like Binance, Kucoin, and Kraken to publish proof of their reserves, showing customer assets as well as liabilities. On-chain data aggregators like CoinMarketCap and Nansen also launched dashboards where users can view exchange reserves for themselves.
Not every crypto exchange had published proof-of-reserves, proof-of-liabilities, and third-party audits. However, Binance and Kraken were quick to act in the wake of FTX’s crash. Users also pointed out that reserve audits and reports should be published regularly by exchanges and companies.
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