Topic: Binance’s “auditor” Mazars,nuked the website with Binance’s proof of liabilities (Read 85 times)

The word temporary here means that the company does not want to bear the damage regarding their reputation at the present time, but at times, for example in the year 2025, and no matter how bad the situation is for the platform, they can easily provide liquidity and therefore they will rarely encounter problems.

The winter will be harsh and Mazar do not want to risk their reputation.
Despite all that, I don't see that Binance' situation is that bad.

It's probably the right thing to do, what Mazar did. While Mazar cited public perception as the reason why they discontinued engagements with crypto companies, I think the real reason is that they just want to preserve their name and reputation. They simply do not want to get entangled in all the controversies surrounding the crypto industry especially in the last few weeks.

Yes, there is indeed a problem on how their reports are understood by the public, but apparently it is not so much about how the public understood them as to how they are presented by the crypto companies to the public. Take as an example how Binance made it appear to the public that Mazar's report is an audit report and how this proof of reserves report assures people that the platform is solvent and that the users' funds are backed 1:1. This isn't what the report is.

Not to mention that limited methodologies used are according to the demands of the client. That takes away any real sense of independence and audit. We have to be reminded that the same thing was also done to FTX itself and the reports say it's doing good.

And now that Mazar has cut ties and that reports have been taken down, whatever happens to Binance, KuCoin, or Crypto.com in the next weeks or months wouldn't be much of a problem to their company anymore.

Dunno, since they removed everything related to those exchanges from their website, it doesn't look to me like those audits will come any time soon. Imho they stopped it for good (or at least for longer period of time) but "pausing" sounds better.



Yep, here are few bits of the statement.

There is a slight drop in markets from an earlier price spike, but I doubt if it's related to the incident. I think it's just a normal crypto market movement. Over a couple of months ago, not so many exchanges has any proof of reserve or liabilities so why should it shake up the market now?

Meanwhile, has Mazari issued a statement pointing out the reason they halted the auditing?

All other Mazari websites work normally starting from their main .com domain, but they probably paused with crypo audits to avoid bad press.
I tried searching terms like Crypto, Binance and Kucoin and they deleted every trace, only thing that was giving me some results was when I entered Bitcoin term.
This doesn't look good for Binance, and I expect to see more problems for them in next weeks, but I said from day one that this Proof of Reports is just BS.

It seems that Binance is trying hard to prove that it does not have a liquidity problem, as they tried to communicate with Big Four auditors, but according to Mazars reports, what is happening is temporary, and since they have suspended work with almost all platforms, this does not suggest a problem in Binance itself.
I do not know, but I think that Merkle Tree PoR is a useless thing. Even if these platforms prove that they have enough liquidity, this does not prevent it from happening like what happened with FTX, but in a less chaotic manner.

Based on the news it's temporarily paused not gone so it would come back soon so how this will impact the market? There is a slight drop in the price recently but it doesn't mean it's due to this Mazars audit.
Maybe the reason for the drop is due to Binance news that recently they temporarily paused withdrawals to major stables coins.

Take note the main domain or website is not down mazars.com are still accessible only the sub domain is gone.

Apparently, the decision does not only involve Binance only but also their other crypto clients: KuCoin.com and Crypto.com[1] so I don't really see why would this affect the price. We might see more people withdraw their funds from exchanges (or Binance mainly) though.

[1] https://www.cnbc.com/2022/12/16/mazars-suspends-all-work-with-crypto-clients-including-binance-cryptocom.html

Here is Binance announcement about this




Here is how it looked earlier



Here is how it looks now




Do you think it will have a big impact on crypto market now and we can huge dip in price of crypto coins on different exchanges ?