NEW YORK (BLOOMBERG) - Crypto.com has not received any "outreach" from regulators following a cyber-security breach earlier this week of about 400 customer accounts, according to chief executive officer Kris Marszalek.
During an online interview at Bloomberg's Year Ahead virtual conference, Mr Marszalek said from Singapore that he is prepared to share information on the hack if any relevant inquiries come from regulators.
In response to The Straits Times, a Monetary Authority of Singapore spokesman said that Foris DAX Asia, which operates Crypto.com, is currently exempt from holding a licence under the Payment Services Act while its licence application is under review.
The authority added that it "is aware of the cybersecurity breach at Crypto.com and is following up with the applicant".
The company became the latest crypto exchange to be hit by online thieves on Tuesday (Jan 18) after users reported that Ethereum and other cryptocurrencies were wiped from their accounts.
All customers have been reimbursed, Mr Marszalek said.
"Obviously, it's a great lesson and we are continuously strengthening our infrastructure," Mr Marszalek said during the interview. "Given the scale of the business, these numbers are not particularly material and customer funds were not at risk."
An exact value of the cryptocurrencies affected is still unknown, although estimates are in the millions. Mr Marszalek said Crypto.com plans to release more information in a blog post in the coming days.
System hacks have been a persistent problem since the earliest days of cryptocurrencies, with rogue programmers probing the software code of protocols for vulnerabilities.
The firm moved its headquarters from Hong Kong to Singapore last year.
MAS announced a ban on the public advertising of crypto products earlier this week. Crypto.com was among the firms affected after placing a large billboard on a prominent shopping strip. Advertising practices of the crypto industry have come under scrutiny as opponents worry that retail investors could buy into the asset class with limited understanding of risks.
"Singapore is very supportive of blockchain technology and the cryptocurrency industry in general," Mr Marszalek said. "It's a great place for the industry players, and there's quite a large number of players there."
One of largest exchanges with more than 10 million users, Crypto.com made headlines after it bought the sponsorship rights to an iconic sports and entertainments arena in Los Angeles, once-branded the Staples Centre. It is also running a major marketing campaign with actor Matt Damon, along with various professional sports teams.
Additional reporting by Choo Yun Ting
