CoinMarketCap: the “Proof of Reserves” tick has arrived for exchanges
The day before yesterday I was watching CoinMarketCap as always to be informed on crypto prices, dominance and volumes of the last 24 hours. I got this announcement:
"New: exchange reserves data.
Safety comes first, and that means being transparent within the crypto space.
Look out for this icon to view the financial reserves of various exchanges."

CoinMarketCap also announced this feature on Twitter.

Obviously this new feature was implemented after the serious events of FTX which caused users’ trust in the exchanges to crunch.
What is a Proof of Reserves (PoR)? It is simply an independent audit conducted by a third party which seeks to ensure that a custodian has the assets it claims on behalf of its customers.
By clicking on the button, you are sent to the CoinMarketCap page relating to exchanges and it is possible to check which exchanges have this tick. Today only a few exchanges have it: Binance, KuCoin, Bitfinex, OKX, Bybit, Crypto.com and Huobi. Clicking on the name of these exchanges opens their tab where you can see the total reserves and their allocation. For example, Binance has total assets of $ 68 billion and the top three assets are BUSD (31%), USDT (22%) and BTC (13%).

KuCoin, on the other hand, has total assets of $ 2,5 billion and the top three assets are USDT (32%), KCS (almost 18%) and BTC (11%).

CoinMarketCap’s Proof of Reserves are updated every 5 minutes and include:
- total assets
- public wallet address ownership
- balance, price and value of public wallets
In recent days I have received many emails from various exchanges and platforms where they reassured me of their seriousness and the ethics of their work.

In my opinion, this new feature of CoinMarketCap is very good because it brings more transparency to exchanges but at the same time does not ensure their solvency. There is still a lot to do.
A winner is a dreamer who never gives up.
Disclaimer: I am not aware of any third party rights on the images used. I undertake to cite the source if there are any and to adjust the position if requested.
Disclaimer: Trading cryptocurrencies carries a high level of risk and may not be suitable for all investors. Before deciding to trade cryptocurrency you should carefully consider your investment objectives and your level of experience. Do Your Own Research. All opinions expressed here are owned by the respective writer and should never be considered as financial advice in any form.
ABOUT THE AUTHOR