Crypto.com, a Cryptoasset-power debit card and trading services firm, announced that it is on track to end the year with its numbers in the black for the first time in its history. Nevertheless, it will have to achieve this effort without one of its principal partners after an accounting scandal involving the German card issuer Wirecard forced Crypto.com to prevent an enrollment dive in Asian markets.
Kris Marszalek, CEO of the Hong Kong-based Crypto.com, informed Bloomberg that his firm was “really fortunate to be growing rapidly during this time of a global pandemic.”
He also stated that,
“August was another record-breaking month for the company in terms of revenue and all transactional metrics.”
But the CEO acknowledged that Crypto.com is now “in the process of migrating away from Wirecard both in Asia and Europe.“
The Wirecard scandal involves a series of accounting irregularities dating back to 2008 and somewhat revealed in 2015, concerning what the Financial Times tagged a notable gap between the short-term assets and liabilities in Wirecard’s payment business operations. The scandal came to a head earlier this month after the German parliament declared it would launch a probe into the firm and the state’s failure to anticipate what it has termed widespread corporate fraud.
The Crypto.com chief stated that his firm is continuing to enroll new debit card users in Europe. However, rollouts have been put on hold in Asia until the firm finds a new partner in the region.
Earlier known as Monaco (an ICO from 2017), the company obtained the Crypto.com domain in 2018. Monaco was already lead by Marszalek back then.
Crypto.com presently offers a metal Visa card with a cashback of up to 5% on all spending to its customers in Europe, the USA, and Singapore, with more markets, added soon.
Establishing its crypto.com chain coin (CRO) success, which has become the 11th-largest cryptoasset, with a current market capitalization of some USD 2.9bn, the provider said it is developing a community around its token. It offers a variety of cash back on purchases, promotions, discounts, and referrals that it thinks will lure more people to the crypto sector.
Crypto.com has also been hosting contests that it hopes will see increased crypto activity from its users. After listing the DeFi app Decentralised Information Asset (DIA) token on its platform this month, Crypto.com began a campaign with a prize pool worth USD 20,000 in DIA tokens for users making DIA deposits.
In September, the company launched DeFi Swap, “a decentralized protocol deployed on the Ethereum blockchain” for swapping and “farming” DeFi coins.
The company insisted it had met critical milestones for this year, including the launch of its wallet and initiating the shipment of MCO Visa cards in Europe, both of which took place in May. Crypto.com said that in the months ahead, it would look to launch its Chain mainnet and expand the MCO Visa card’s coverage to the Asia-Pacific region and Canada.
At pixel time (13:01 UTC), CRO trades at USD 0.169 and is down by almost 2% in a day, trimming its weekly gains to 13%. The price is unchanged in a month, while it rallied by 329% in a year.