Vault of Satoshi Adds "Proof of Solvency" Tool
Vault of Satoshi, one of the , has posted on reddit that it has added a "Proof of Solvency" feature allowing any user to validate the Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term's holdings.
Users can generate a time-stamped report in the exchange's backend to view the address of their Cold Storage Cold Storage Cold storage is a computer system or mode of operation that is designed for the retention of inactive data, in this case private keys for cryptocurrencies. This helps put up resilient barriers against theft by hackers and malware, and is often a necessary security protocol especially dealing with large amounts of Bitcoin.In order to “own” a cryptocurrency, one must be in control of a cryptocurrency’s private keys. As such, private keys are long strings of random characters that can be used to se Cold storage is a computer system or mode of operation that is designed for the retention of inactive data, in this case private keys for cryptocurrencies. This helps put up resilient barriers against theft by hackers and malware, and is often a necessary security protocol especially dealing with large amounts of Bitcoin.In order to “own” a cryptocurrency, one must be in control of a cryptocurrency’s private keys. As such, private keys are long strings of random characters that can be used to se Read this Term wallet, from where balances can be verified. The hot wallet address isn't displayed as a security precaution. This shouldn't impact the overall conclusions from such a report, as only 5-6% of funds are kept in the hot wallet.
The feature aims to go further than the recent audits on exchanges like Bitstamp and . The audits were a one-time shot, conducted by individuals. Vault of Satoshi's tool is technically available around the clock for any user to generate a daily report.
Should such tools become more commonplace, the next step will perhaps be some dashboard with simplified indicators such as proof of solvency status and the like, tools which will be deemed as essential to the secure functioning of a decentralized currency system and which will separate reputable institutions from the rest.
Adam Cochran, the exchange's director of marketing, wrote:
"Users can self validate both their balance and the overall reserves of the exchange by navigating to our security center and selecting "BTC Proof of Solvency". From there, load the partial tree list, select "online tools" and copy paste in the relevant information to validate the holdings."
Following is a report generated today, April 22:
The creation of such an automated tool did involve significant effort but Cochran believes it was worthwhile. When it comes to transparency, their mantra is to "never settle for good enough".
Reaction has been quite positive, with some Bitcoiners writing that this will help give them an edge over Canadian rival CAVirtex despite currently posting typically lower trading volume.
Vault of Satoshi, one of the , has posted on reddit that it has added a "Proof of Solvency" feature allowing any user to validate the Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term's holdings.
Users can generate a time-stamped report in the exchange's backend to view the address of their Cold Storage Cold Storage Cold storage is a computer system or mode of operation that is designed for the retention of inactive data, in this case private keys for cryptocurrencies. This helps put up resilient barriers against theft by hackers and malware, and is often a necessary security protocol especially dealing with large amounts of Bitcoin.In order to “own” a cryptocurrency, one must be in control of a cryptocurrency’s private keys. As such, private keys are long strings of random characters that can be used to se Cold storage is a computer system or mode of operation that is designed for the retention of inactive data, in this case private keys for cryptocurrencies. This helps put up resilient barriers against theft by hackers and malware, and is often a necessary security protocol especially dealing with large amounts of Bitcoin.In order to “own” a cryptocurrency, one must be in control of a cryptocurrency’s private keys. As such, private keys are long strings of random characters that can be used to se Read this Term wallet, from where balances can be verified. The hot wallet address isn't displayed as a security precaution. This shouldn't impact the overall conclusions from such a report, as only 5-6% of funds are kept in the hot wallet.
The feature aims to go further than the recent audits on exchanges like Bitstamp and . The audits were a one-time shot, conducted by individuals. Vault of Satoshi's tool is technically available around the clock for any user to generate a daily report.
Should such tools become more commonplace, the next step will perhaps be some dashboard with simplified indicators such as proof of solvency status and the like, tools which will be deemed as essential to the secure functioning of a decentralized currency system and which will separate reputable institutions from the rest.
Adam Cochran, the exchange's director of marketing, wrote:
"Users can self validate both their balance and the overall reserves of the exchange by navigating to our security center and selecting "BTC Proof of Solvency". From there, load the partial tree list, select "online tools" and copy paste in the relevant information to validate the holdings."
Following is a report generated today, April 22:
The creation of such an automated tool did involve significant effort but Cochran believes it was worthwhile. When it comes to transparency, their mantra is to "never settle for good enough".
Reaction has been quite positive, with some Bitcoiners writing that this will help give them an edge over Canadian rival CAVirtex despite currently posting typically lower trading volume.