Structural failure
Commingled Funds
Customer deposits used for purposes other than custody — proprietary trading, related-party loans, operational spending. Cannot be reversed once exposed.
Records exhibiting this pattern
MemeCore M Token Collapse Without Confirmed Trigger
MemeCore’s M token fell from near $2.92 to as low as $0.51 within 24 hours, erasing close to $3 billion in market value on roughly $21 million in volume, with no confirmed exploit, hack, or public catalyst identified.
$3.00B affectedMisam Abidi Indicted Over Star Credit Holdings Scheme
Federal prosecutors in Tennessee alleged that Misam M. Abidi used Star Credit Holdings to run a cryptocurrency Ponzi scheme from 2020 to 2024, with investors reportedly solicited across the United States.
$1.0M affectedStar Credit Holdings Indictment in Alleged Ponzi Case
Federal prosecutors alleged that Misam M. Abidi used Star Credit Holdings from 2020 to 2024 to solicit crypto investments with false return and reserve claims, diverting more than $1.9 million and prompting an 11-count indictment.
$1.9M affectedDxSale BNB Chain Liquidity Exploit on May 29, 2026
DxSale lost about $7.3 million in a BNB Chain locker exploit that reportedly affected roughly 1,400 liquidity providers, after a prior ownership transfer and a withdrawal-loop abuse were identified by analysts.
$7.3M affectedFTX Collapse — November 2022
The world's second-largest crypto exchange filed for Chapter 11 bankruptcy within nine days of a leaked Alameda balance sheet that revealed commingled customer funds.
$8.00B affectedCelsius Network Collapse — July 2022
The largest centralised crypto lender suspended withdrawals on 12 June 2022 and filed for Chapter 11 a month later, owing approximately $4.7 billion to retail depositors.
$4.70B affectedVoyager Digital Collapse and Bankruptcy in 2022
After Three Arrows Capital defaulted on a roughly $670 million loan, Voyager froze customer activity, entered Chapter 11, and later liquidated, returning about 35.7% of customer claim value.
$670.0M affected