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Crypto.com CEO Urges Regulators to Investigate Exchanges later than $19B Market Crash

Crypto.com CEO Kris Marszalek

Crypto.com CEO, Kris Marszalek, has urged global regulators to open investigations into major cryptocurrency platforms following last week’s sudden .  The CEO accused certain platforms of shady practices and possible market manipulation, saying that users deserve accountability and transparency in the later thanmath of such massive liquidations.

come amid intense scrutiny in the broader crypto community over how platforms handle margin calls, liquidations, and order execution in volatile market conditions. The statement now shakes the confidence across the crypto market and could spark regulatory attention that would push platforms into more transparent operations.

What is the Crypto.com CEO Demanding?

Following a sudden $19 billion liquidation that erased weeks of gains and left traders stunned in the past week, Kris has released public statements on X, pushing for investigations into how platforms manage risk, set margin calls, and respond during market volatility. 

As reported, the platform boss stated that users deserve clear and fair markets and probed into how billions vanished in hours.  He further implied that some platforms may be operating with “Chinese-wall” divisions or conflicting interests between their platform operations and trading desks. This refers to internal barriers meant to prevent conflicts of interest between platform operations and proprietary trading desks.

Critics like Kris Marszalek argue that some platforms blur these lines and take advantage of market swings for profits. He called for greater auditability, public disclosure of liquidation mechanics, and surveillance measures to ensure that liquidation events don’t unfairly penalize retail users. The CEO also suggested regulators examine whether platforms executed forced liquidations in opaque ways that magnified tradeing pressure.

Kris’ demands have resonated in crypto communities already reeling from heavy losses. Some users say that during the crash, they saw inconsistent pricing across platforms, extreme slippage, or orders filled at diupsetvantageous levels. These behaviors, they suspect, may benefit large counterparties.

Regulatory Pressure and Kris’ Potential Impact

By calling the attention of , Crypto.com CEO is aiming to turn a market breakdown into a governance moment. The $19 billion crash exposed how vulnerable markets remain to cascading liquidations and other risks that highlight the failure in platform design.

If regulatory investigations are launched, platforms may be forced to implement stronger risk controls, more transparent liquidation systems, and better separation of trading operations. That could improve trust and reduce retail users’ fear of “platform black boxes.”

In the short run, the CEO’s statements may also influence perception and capital flows. Investors may favor platforms with more robust risk architectures and reputational clarity. platforms viewn as opaque or unfair could suffer liquidity outflows or reputational damage. However, regulation is not guaranteed, and time will tell if the Crypto.com CEO’s scrutiny could catalyze a new push for regulatory intensity in crypto markets.

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