Crypto.com asks US court to uphold arbitration award for mistakenly sending $50,000

The exchange said it "erroneously deposited" $50,000 into a user's account in June 2022, without receiving a response to requests for the return of funds. News Join us on social networks

Cryptocurrency exchange Crypto.com has asked a Florida court to uphold a judgment in its favor through arbitration after the platform mistakenly deposited $50,000 into a user's account.

According to the July 6 court filing, Crypto.com "mistakenly" deposited $50,000 into James Deutero McJunkins' account in June 2022, although the user apparently did not earn the funds through transactions or other activities. He immediately transferred the funds to an external bank account beyond the reach of Crypto.com's authority and ignored repeated requests to return the money.

In October 2022, Crypto.com went to arbitration over the missing funds, claiming that McJunkins had committed civil theft and breach of contract on his behalf. The arbitrator sided with the company and awarded Crypto.com $76,391.46 in April 2023, based on the original settlement of $50,000, $1,786.11 in statutory interest, $21,205.35 in attorney fees and $3,400 in arbitration costs.

Although Crypto.com "won" the case, the arbitrator apparently had no power to force McJunkins to pay the exchange, forcing the company to go to federal court for results. The July 6 motion said Crypto.com had asked the Florida court "to uphold the arbitrator's decision and enter final judgment in its favor and against McJunkins" for the amount owed.

Related: Crypto.com accidentally sends 320,000 ETH to Gate.io, gets funds back a few days later

The case recalls an incident between Crypto.com and two Australian-based users in May 2021. In this case, the exchange would have