Crypto.com Refunded Someone $7.2 Million By Mistake - Lifestyle UG Crypto.com Refunded Someone $7.2 Million By Mistake - Lifestyle UG

Crypto.com Refunded Someone $7.2 Million By Mistake

Crypto.com, a cryptocurrency exchange backed by Matt Damon and the Los Angeles Lakers, sent an Australian customer $10.5 million AUD (about $7.2 million USD) due to a typo.

Australian news site 7News says that the exchange didn't find out about the mistake until seven months later, by which time some of the money had already been spent.

The first transfer happened in May 2021, when a worker put an account number in the payment amount field by mistake. When Crypto.com did an audit in December 2021, they found out about the mistake.

Instead of telling Crypto.com about the wrong refund, the customer, Thevamanogari Manivel, reportedly moved the money to a joint account.

He used it to buy her sister a luxurious five-bedroom home for $1.3 million AUD, which is about $890,526 USD.

Now, the company has gone to the Victoria Supreme Court to try to get its money back. The Guardian said that Crypto.com was able to freeze Manivel's account in February.

Manivel has also been told by the court to sell the house and give the money (plus interest) back to the exchange. The case returns to court in October, but Crypto.com won't comment.

Crypto winter isn't the only reason exchanges are losing money. Another risk is fat-fingered mistakes. This week, the Solana-based decentralised exchange OptiFi lost $661,000. 

A developer accidentally used "Solana program close" to close the exchange's program. The exchange demonstrates the need for a warning message when the prompt is used.