Audit firm Mazars suspends work for Binance and other crypto clients Coindesk

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(Reuters) Mazars, the audit firm working with leading cryptocurrency exchange Binance, has suspended all work for clients in the crypto industry, news outlet Coindesk reported on Friday, citing a statement sent by e -mail from Binance.

Mazars has indicated that it will temporarily suspend work with all of its crypto clients globally, including Crypto.com, KuCoin and Binance. Unfortunately, this means that we will not be able to work with Mazars at this time, a Binance spokesperson told Coindesk.

Mazars had conducted a so-called proof-of-reserve verification on Binances bitcoin holdings earlier this month, finding that its single-day bitcoin reserves in late November were oversized.

The auditing firm removed the web page containing a report on the audit, published on December 7.

Mazars and Binance did not immediately respond to requests for comment.

Mazars’ break comes amid scrutiny, sparked by the bankruptcy of the FTX exchange, into how these platforms hold user funds.

Binance was hit this week with an increase in outflows, which Binance CEO Changpeng Zhao called the status quo. Binance also suspended withdrawals from a major stablecoin for a period on Monday, blaming the delays of the traditional banking system.

(Reporting by Mehnaz Yasmin in Bengaluru and Tom Wilson in London; Editing by Nivedita Bhattacharjee)

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