{"id":562303,"date":"2023-03-11T10:04:00","date_gmt":"2023-03-11T07:04:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/sen-warren-calls-out-sham-audits-while-svb-threatens-crypto-bankruptcy\/"},"modified":"2023-03-11T10:04:00","modified_gmt":"2023-03-11T07:04:00","slug":"sen-warren-calls-out-sham-audits-while-svb-threatens-crypto-bankruptcy","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/sen-warren-calls-out-sham-audits-while-svb-threatens-crypto-bankruptcy\/","title":{"rendered":"# Sen. Warren calls out &#8216;sham audits&#8217; while SVB threatens crypto bankruptcy"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a41f46e78a87\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a41f46e78a87\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/sen-warren-calls-out-sham-audits-while-svb-threatens-crypto-bankruptcy\/#%E2%80%9D_Sen_Warren_calls_out_%E2%80%98sham_audits_while_SVB_threatens_crypto_bankruptcy_%E2%80%9C\" >&#8221; Sen. Warren calls out &#8216;sham audits&#8217; while SVB threatens crypto bankruptcy &#8220;<\/a><\/li><\/ul><\/nav><\/div>\n<h1><span class=\"ez-toc-section\" id=\"%E2%80%9D_Sen_Warren_calls_out_%E2%80%98sham_audits_while_SVB_threatens_crypto_bankruptcy_%E2%80%9C\"><\/span>&#8221; Sen. Warren calls out &#8216;sham audits&#8217; while SVB threatens crypto bankruptcy &#8220;<span class=\"ez-toc-section-end\"><\/span><\/h1>\n<p><img decoding=\"async\" src=\"https:\/\/images.cointelegraph.com\/images\/840_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjMtMDMvNjliZGVkYjQtNTc2NC00YjU3LWJhMjQtNTNjZGUzYTllNTM5LmpwZw==.jpg\" \/><\/p>\n<div class=\"post-content\" data-v-48054ca8>United States Senators Elizabeth Warren and Ron Wyden asked the Public Company Accounting Oversight Board (PCAOB) to hold auditors accountable for failed crypto projects.\u00a0<\/p>\n<p>The PCAOB \u2014 a non-profit overseeing the audits of public companies and other issuers \u2014 recently stated that proof-of-reserves (POR) are not equivalent to audits and are not conducted in accordance with PCAOB auditing standards. POR is a method widely adopted by crypto exchanges to confirm the availability of users\u2019 funds. However, Sen. Warren demanded stricter oversight:<\/p>\n<blockquote><p>\u201cBut let&#8217;s be clear: there&#8217;s more PCAOB needs to do so consumers aren&#8217;t left holding the bag when shady crypto firms collapse.\u201d<\/p><\/blockquote>\n<p>The crypto community contrasted her statement as numerous members highlighted the ongoing collapse of Silicon Valley Bank (SVB), a Federal Deposit Insurance Corporation-insured bank. <\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">.<a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/RonWyden?ref_src=twsrc%5Etfw\">@RonWyden<\/a> and I called on <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/PCAOB_News?ref_src=twsrc%5Etfw\">@PCAOB_News<\/a> to hold auditors accountable for sham crypto audits and I&#8217;m glad they&#8217;re taking this step to protect investors. <\/p>\n<p>But let&#8217;s be clear: there&#8217;s more PCAOB needs to do so consumers aren&#8217;t left holding the bag when shady crypto firms collapse. <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/t.co\/cRJxwL2gBL\">https:\/\/t.co\/cRJxwL2gBL<\/a><\/p>\n<p>\u2014 Elizabeth Warren (@SenWarren) <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/SenWarren\/status\/1634271722508632064?ref_src=twsrc%5Etfw\">March 10, 2023<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>On the other hand, with SVB single-handedly contributing to the price instability of the Circle-issued USD Coin (USDC) token, Crypto <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/social-mediaa\/\" data-internallinksmanager029f6b8e52c=\"1\" title=\"Social Media\" target=\"_blank\" rel=\"noopener\">Twitter<\/a> questioned Warren\u2019s stance around the collapse of a non-crypto-related bank.<\/p>\n<p>Responding to Sen. Warren, Ari Paul, the founder of blockchain investment firm Blocktower Capital, highlighted how SVB is pushing crypto companies into bankruptcy, stating:<\/p>\n<blockquote><p>\u201cThe far larger non-crypto bank SVB just forced a lot of good companies into bankruptcy. Stop pretending your empire building helps people\u2026this just keeps delivering unnecessary losses for both retail and institutional depositors.\u201d<\/p><\/blockquote>\n<p>Tesla CEO Elon Musk shared a meme for the occasion, showcasing the dilemma of investors when it comes to trusting traditional banks and crypto businesses with their money.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"zxx\" dir=\"ltr\"><a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/t.co\/tTMWOHcUom\">pic.twitter.com\/tTMWOHcUom<\/a><\/p>\n<p>\u2014 Elon Musk (@elonmusk) <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/elonmusk\/status\/1634343907827019776?ref_src=twsrc%5Etfw\">March 11, 2023<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>As previously reported by Cointelegraph, the investor advisory from the PCAOB\u2019s Office of the Investor Advocate reminded users to not solely rely on POR reports as a way to confirm the existence of funds.<\/p>\n<p>\u201cWhen are you going to apologize for starting the Silvergate bank run and plunging the nation&#8217;s banks into chaos?\u201d <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/nic__carter\/status\/1634283627453337631\">asked<\/a> an investor responding to Sen. Warren.<\/p>\n<p><strong><em>Related: <\/em><\/strong><strong><em>Binance upgrades proof-of-reserves verification to include zk-SNARKs<\/em><\/strong><\/p>\n<p>On March 11, Circle revealed that $3.3 billion was stuck with Silicon Valley Bank after a transfer request from March 9 did not go through. <\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">1\/ Following the confirmation at the end of today that the wires initiated on Thursday to remove balances were not yet processed, $3.3 billion of the ~$40 billion of USDC reserves remain at SVB.<\/p>\n<p>\u2014 Circle (@circle) <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/circle\/status\/1634391505988206592?ref_src=twsrc%5Etfw\">March 11, 2023<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>Adding to Circle&#8217;s statement, the firm&#8217;s chief strategy officer and head of global policy emphasized that &#8220;Circle is currently protecting USDC from a black swan failure in the U.S. banking system,&#8221; as he called for a rescue plan from the Federal Deposit Insurance Corporation (FDIC).<\/p>\n<p>At the time of writing, $3.3 billion of the roughly $40 billion (8.24%) of USDC reserves remain with SVB.<\/p>\n<p><template data-name=\"subscription_form\" data-type=\"markets_outlook\"><\/template><\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/sen-warren-calls-out-sham-audits-while-svb-threatens-crypto-bankruptcy\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8221; Sen. Warren calls out &#8216;sham audits&#8217; while SVB threatens crypto bankruptcy &#8220; United States Senators Elizabeth Warren and Ron Wyden asked the Public Company Accounting Oversight Board (PCAOB) to hold auditors accountable for failed crypto projects.\u00a0 The PCAOB \u2014 a non-profit overseeing the audits of public companies and other issuers \u2014 recently stated that&#8230;<\/p>\n","protected":false},"author":1,"featured_media":562304,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/cdn-cgi\/image\/format=auto,onerror=redirect,quality=90,width=1200\/https:\/\/s3.cointelegraph.com\/uploads\/2023-03\/69bdedb4-5764-4b57-ba24-53cde3a9e539.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[117,70934,70289,67874],"class_list":["post-562303","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-business","tag-regulation","tag-senate","tag-united-states"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/562303","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=562303"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/562303\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/562304"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=562303"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=562303"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=562303"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}