Crypto Card Provider Losing 2 Billion Dollars Filed For Bankruptcy
Wirecard is a German digital payment company with various crypto debit card providers. Crypto.com and TenX include companies that provide crypto cards. Companies stated that the registration funds did not affect them financially.
According to Bloomberg, the Wirecard auditor, Ernst & Young, announced that they found a 1.9 billion euro, or 2.1 billion dollar deficiency, on Wirecard’s balance sheet. This amount accounts for 80% of net cash. The next day of this news, Wirecard CEO resigned; He then handed himself over to the police after the arrest warrant was issued.
Dr. Wirecard’s former CEO Dr. Markus Braun, on the other hand, is accused of lying to auditors about missing funds. Wirecard said the money is probably “not” and misled their investors about how they make a profit. Since then, the company has withdrawn its annual accounts and stock prices have fallen.