OKX publishes second proof-of-reserves to ease investor jitters
OKX, formerly known as OKEx, has released its second proof-of-reserves report amid increasing demand of crypto investors asking for transparency from exchanges they trade with.
Published on its website, the updated report shows on-chain and off-chain asset balances, and a complete list of wallet addresses are available for public viewing. OKX also pledged to release a monthly report on the 22nd day of each month to allow users to audit its reserves on a regular basis.
OKX’s second proof-of-reserves features new tools that enable users to view reserve ratios for new and historical data to self-verify assets held within its platform. They will be also able to download the files containing the most recent update, as well as all historical PoR data.
“Publishing PoR results on a monthly basis strengthens our commitment to lead the industry when it comes to transparency and trust. At OKX, we believe that PoR should be verifiable via open source tools so that users can self-verify the balances and ownership of our reserve addresses,” said OKX CMO Haider Rafique.
OKX was among the first tranche of crypto exchange that provided their customers and other stakeholders with a snapshot of its reserve holdings. This came at a time when major crypto plyers come under greater scrutiny after the stunning implosion of the erstwhile second-largest global crypto exchange FTX.
Other than OKX, KuCoin, Crypto.come, Binance, Gate.io, Poloniex, Bitget, Huobi, Deribit, and Bybit are among those who pledged to publish their Merkle tree reserve certificates to increase transparency.
Proof of Reserve hit the headlines in recent weeks as many exchanges have taken steps to increase transparency and trust amongst their users. The collapse of Sam Bankman-Fried’s FTX, which filed for bankruptcy last month, has triggered withdrawal suspensions across associated platforms and beyond. To assure investors, major cryptocurrency exchanges have been publishing evidence of the reserves they hold.
While the crypto industry was looking to calm jittery investors, major professional auditors halted all work for crypto clients. Mazars Group, which had published a proof of reserves report for Binance and other big players, cut ties with clients in the digital assets space, dealing a major blow to an industry seeking to shore up confidence.