Accidentally Sends 320K ETH to, Gets Back Days

The fall of FTX highlighted the importance of proving reserves in avoiding risk and improving investor confidence, and prompted cryptocurrency exchanges to publicly list their hot and cold wallet addresses. When trying to confirm the availability of funds on, cold store information revealed a suspicious transfer of 320,000 Ether (ETH) to a wallet address linked to on October 21, 2022.

Chain data confirms the transfer of 320,000 ETH from to Source: Etherscan

Community member jconorgrogan raised concerns about moving 320,000 ETH from a cold wallet to, considering the former claims that 100% of user-owned cryptocurrencies are held offline in cold storage in partnership with a provider Ledger hardware wallet.

As discussions heated up, Kris Marszalek, CEO of, revealed that funds – which represent 82% of’s ETH in cold storage at the time of writing – were mistakenly sent to

“It was supposed to be a move to a new cold storage address, but it was sent to a whitelisted external exchange address.”

Speaking to Cointelegraph, a spokesperson clarified that the whitelisted address on is owned by Regardless, Marszalek confirmed that has returned funds to’s cold storage and reassured investors that new processes and features have been implemented to prevent a recurrence.

While on-chain data confirms that returned 285,000 ETH to, Marszalek stated that all funds were returned. Further investigation revealed that the missing 35,000 ETH had been sent to a different address, which has yet to be confirmed by the crypto exchange.

In a series of tweets, Marsalek later explained what happened while confirming that all operations are operating normally.

This isn’t the first time has made headlines about an unintended transfer. In August 2022, it was revealed that mistakenly sent A$10.5 million (worth over $7 million) to investors in Melbourne, which was supposed to be a refund of A$100 ($67). The incident occurred in May 2021 but was not discovered until an annual audit in December 2021.

Related: is obligated to prove reserves after stopping FTX-supported deposits and withdrawals

Marsalek promised to publish’s audited guide to reserves on November 10 highlighting the importance of transparency and user safety.

With most cryptocurrency companies ready to share proof of reserves, investors now have an opportunity to confirm the existence of their funds, ultimately preventing business owners from abusing cold storage funds.