Crypto Exchange OKX Launches New Proof-of-Reserves System Allowing Users To Verify Their Assets
Crypto exchange OKX is launching a new proof-of-reserve system that enables customers to verify their digital assets.
The Seychelles-based firm says the OKX Proof of Reserves (PoR) will provide a means for users to verify that their funds are backed 1:1 by real assets.
“At OKX, we hold a 1:1 reserve of all customer assets on our platform and pride ourselves on our long-standing reputation for best-in-class security. Now, we’re empowering you with greater transparency than ever before through PoR, a common cryptographic audit.”
OKX is launching its first PoR in a bid to set a new standard of transparency, risk management and user protection following the collapse of rival FTX after an unexpected surge in withdrawals left one of the crypto industry’s most prominent exchanges unable to meet its financial obligations.
“Our on-chain wallet holdings are now public, so you can verify your funds are backed by real assets.”
The company says it also rolled out a self-audit feature that will let users know if their assets are safe. The feature initially supports king crypto Bitcoin (BTC), top altcoin Ethereum (ETH) and stablecoin Tether (USDT), but OKX says it will add support for more assets in the future.
“Moving forward, we’ll conduct regular Proof of Reserve audits to update our collateral balance and the status of your assets within our reserves.”
Despite facing more stringent scrutiny in the aftermath of the FTX crash, some crypto firms do not share the same views as OKX in terms of providing proof of reserve.
For example, asset management titan Grayscale says it does not plan to release cryptographic proof of its reserves, citing security reasons.
Don’t Miss a Beat – Subscribe to get crypto email alerts delivered directly to your inbox
Check Price Action
Follow us on Twitter, Facebook and Telegram
Surf The Daily Hodl Mix
 
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Featured Image: Shutterstock/POP DESIGNER
The post Crypto Exchange OKX Launches New Proof-of-Reserves System Allowing Users To Verify Their Assets appeared first on The Daily Hodl.
Go to Source
Author: Rhodilee Jean Dolor
