Crypto.com is reeling from a costly error after accidentally refunding an Australian woman an amount far greater than she expected.
The woman, who lives in Melbourne, requested a $100 refund from the exchange in May of last year, but instead received $10 million, according to the Daily Mail.
According to the outlet, Crypto.com didn’t realize the error until seven months later, during an end-of-year audit.
According to the report, the Singapore-based exchange legally pursued the user to recover the money, informing the court that the blunder occurred because an account number was entered into the payment field instead of the initially requested amount.
By the time Crypto.com realized what had happened, the $10 million had already been spent on a multi-million-dollar mansion in Melbourne’s Craigieburn suburb, complete with a home cinema and gym.
The women are not going quietly. A judge has now reportedly ordered that their property be sold and the money from the exchange be repaid.
According to Alexander Tkachenko, CEO of asset tokenization platform VNX, Crypto.com will likely win in court because it is a well-established company, but this will serve as a cautionary tale for other companies.
“While random errors occur on most platforms, this one is too costly to ignore,” he told Blockworks. Crypto.com representatives did not respond to a request for comment by press time.
According to the company, Crypto.com was founded in 2016 in Hong Kong and has over 50 million active users. The disaster is reminiscent of a similar incident that occurred around the same time last year.
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