Safeguarding Users’ Assets: BTCC Reports Total Reserve Ratio Of 132% For July, ETH Leads At 170%
BTCC, one of the world’s longest-serving cryptocurrency exchanges founded fourteen years ago, had a total reserve ratio of 132% for July, marking the fourth month in a row in which it maintained reserves well above 100%.
The reserve ratio is the amount of customer funds the exchange holds in reserve compared to the amount of customer funds deposited. It measures the exchange’s ability to cover withdrawals by customers. The higher the reserve ratio, the greater the exchange’s ability to meet withdrawals; the lower the reserve ratio, the higher the risk the exchange could run into trouble.
BTCC, which prides itself on transparency, has been releasing Proof of Reserves (PoR) reports since April, and reserves have been above 100% in every month since then.
Safeguarding Users’ Assets
Proof of Reserve is an audit procedure that verifies assets held by exchanges through cryptographic proof, public wallet ownership checks and repeated audits, reports BTCC. Custodians provide transparent proof that on-chain reserves truly exist, demonstrating that the total tokens held and freely available on the platform are greater than or equal to the total token assets of all users.
In centralized trading platforms, each user’s assets are recorded …
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