AUDITORS DROP CRYPTO CLIENTS Accounting firms with crypto audit practices are folding under pressure from FTX’s collapse and fears of contagion. Forbes has learned that Armanino, the accountant of the exchange’s U.S. arm, is expected to end its crypto audit practice and is dropping clients. Additionally, Mazars, the firm used by Binance and several other crypto exchanges to vouch for their assets held in reserve, has reportedly halted work with these clients. According to Bloomberg, Mazars said it had suspended work for crypto firms because of indications that markets haven’t been reassured by the proof-of-reserves reports it had published so far. The firm was also concerned about intense media scrutiny, the report claims. Amid growing concerns, venture giant Sequoia Capital told fund investors that it will require even early-stage startups’ financial statements to be audited by a Big Four accounting firm, according to the Wall Street Journal. |