How safe is Bitvavo?

[jesuschrist]

Bitvavo is very popular in Western Europe, unknown in the rest of the world.

People were speaking about a 280 million EUR hole in their balance sheet, then there was a leak that showed Bitvavo locked 280 million EUR of user assets with Genesis and they can't access that.

Bitvavo manages about 1.6 billion EUR of assets and they say they made enough profit that can cover that "locked" fund, so they can ensure the withdrawals of all customer funds.

I find it unlikely that they made at least 280 million profit on 1.6 billion assets, I know a year ago asset prices were higher but still the trading volume is very low on Bitvavo to satisfy that in my opinion.

What do you think, will they survive?

 

[Simon4466]

From what I understood the shareholders jumped in with additional millions in the project to ensure that it can keep going. Thankfully the people who have invested in Bitvavo have deep pockets, but personally I would never store my crypto on an exchange (especially not one that offers staking for a plethora of cryptos).

Source: Bitvavo over miljoenen gat in jaarrekening: "onvolledig en eenzijdig"

 

[kilor]

Too risky if you ask me!