Wall Street: Crypto.com’s $10 million boo-boo

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Hi. I'm Aaron Weinman. I remember one day after high school, I went to the local "milk bar" (Australia's version of the bodega) to withdraw $50 from the ATM. I was excited. I was off to the "shops" (mall) to buy a new pair of And1 shoes.

Much to my surprise (and delight) the ATM spat out two $50 bills. I thought it odd, so I checked my balance. Just $50 deducted from my account!

I did it again. Another $50 request spat out two $50 bills! How good was life?!

Now picture something similar, but instead of an extra $50 bill, you wind up with an extra $10 or so million. Well that happened to a crypto player named Thevamanogari Manivel in Australia this week.

Donald Horne dubbed Australia "The Lucky Country" in his 1964 book, and my home land down under has been saddled with that nickname ever since.

I think it's safe to say that Manivel might be counting her lucky stars, and dollar bills, too.


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a woman holds a smartphone with the Crypto.com logo displayed on the screen.

1. Crypto.com accidentally sent $10.5 million to Manivel rather than $100. It took seven months to realize it made the $10 million boo-boo, but Manivel bought a $1.35 million house with the extra cash.

The crypto exchange made the mistaken payment in May 2021, but the error (this time it wasn't Citi's fault) was not picked up until a company audit last December.

Turns out Crypto.com put the wrong account number into the payment-amount field, according to a default judgment released last Friday in the Supreme Court of Victoria.

Crypto.com launched legal action against Manivel and her sister Thilagavathy Gangadory, who pocketed some of the $10.5 million payment.

Manivel sent $430,000 of the extra money to her daughter. She also purchased the $1.35 million home in Craigieburn, a suburb about 25 kilometers north of Melbourne's central business district. Ever the generous one, Manivel then transferred ownership of the house to Gangadory, who lives in Malaysia.

Full disclosure, I'm from the suburbs of Melbourne, and I cannot believe a house in Craigieburn is now worth over $1 million?! Extraordinary.

Check out this bizarre story, from Insider's Kate Duffy, here.


In other news:

Wall Street street sign

2. Robin Vince has taken the reins at Bank of New York Mellon. Here is how the new chief executive, the firm's third in about as many years, hopes to revitalize Wall Street's sleeping giant.

3. Credit Suisse's board is headed into key meetings in Singapore this week, Bloomberg reported. Members, however, are split over the level of cuts the Swiss lender should make at its investment-banking division.

4. Bloomberg, meanwhile, is raising the price of its popular terminal by 9%, according to the Financial Times. The price hike is the latest sign of inflationary pressure.

5. Recession fears and inflation are rattling leaders at Disney, Netflix, and Warner Bros. Declines in ad spending and looming economic headwinds has Hollywood execs eyeballing a potential fallout.

6. Real-estate brokerage Compass is expected to layoff more employees. Here is the story of one worker who was laid off in the first round of cuts in June.

7. Goldman Sachs will launch a new policy around COVID-19 from September 6, according to an internal memo. The bank is lifting vaccination requirements in most offices, but New York City staff are still expected to follow a previous policy or show proof of vaccination.

8. Foreign-exchange startup FX HedgePool has raised $8 million from investors. Here is an exclusive look at the pitch deck it used to secure the funds.

9. Bed Bath & Beyond outlined a hefty restructuring plan that includes laying off about 20% of its corporate and supply-chain staffers and closing 150 stores. The struggling retailer — which has about $1.4 billion in long-term debt — will also sell up to 12 million shares and signed a $375 million first-in-last-out loan. JPMorgan and Sixth Street Partners are leading the financing.

10. Airlines have slashed flights to stave off delays and deal with staff shortages. This has led industry analysts to ask, when will the "flightmare" end? Hiring and training can take time and some airlines may not fully catch up until 2024.


Done deal:

  • Mobile ticket platform SeatGeek said it has raised $238 million in Series E financing from existing investor Accel, Wellington Management, Arctos Partners, and Ryan Smith, founder and chairman of Qualtrics and founder of Smith Entertainment Group. The investment values SeatGeek at $1 billion.

Curated by Aaron Weinman in New York. Tips? Email aweinman@insider.com or tweet @aaronw11. Edited by Hallam Bullock (tweet @hallam_bullock) in London.

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