According to Crypto.com's portfolio, the exchange is holding 20% of its reserves in Shiba Inu (SHIB).
Crypto.com holds 20% of its reserves in Shiba Inu (SHIB)
Data acquired from blockchain analytics firm Nansen states that the cryptocurrency exchange Crypto.com is holding 20% of its reserves in Shiba Inu tokens.
The data further showed that the exchange is holding 33% of its holdings in Bitcoin, followed by maintaining 16% of its reserves in Ethereum.
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The exchange revealed information about its reserves through an array of different wallets, which were later collected by Nansen and compiled into a comprehensible dashboard.
Nansen took to Twitter to upload the dashboard image, describing the total amount of cryptocurrencies that Crypto.com is currently holding with the intent to gain consumer trust.
The FTX crypto fallout has led several crypto institutions and exchanges to reveal their reserves in order to secure consumer trust.
The debacle has led investors to question the basic principles of the crypto industry.
The recent FTX collapse has resulted in the loss of billions of dollars worth of consumer funds, leaving its users stricken with panic over lost crypto assets.
The news of Crypto.com holding a substantial amount of their reserves in Shiba Inu has come with criticism and confusion as many traders believe Shiba Inu is too volatile and too much of a "meme token" to be included in an exchange's balance sheet.
The Shiba Inu team have been pursuing ways to shed its meme coin status by launching new projects and ventures. These projects include Shibarium, a layer 2 Ethereum network, SHIB: The Metaverse and Shiba Eternity, a blockchain-based video game.