Senators Elizabeth Warren and Ron Wyden called on the Public Company Accounting Oversight Board (PCAOB) to hold auditors accountable for sham crypto audits.

The senators said they were glad to hear that the PCAOB was taking steps to protect investors by urging caution with third-party verification "proof of reserve" reports, however, "let's be clear: there's more PCAOB needs to do so consumers aren't left holding the bag when shady crypto firms collapse", Warren stated.

The PCAOB's Investor Advisory highlights the risks associated with third-party verification "proof of reserve" reports and encourages investors to exercise caution when relying on these reports. It remains to be seen what further actions the PCAOB will take to address concerns about the auditing of cryptocurrency entities.