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CoinDCX publishes their list of on-chain and off-chain balances as part of its Proof of Reserves report

CoinDCX publishes their list of on-chain and off-chain balances as part of its Proof of Reserves report

While the Indian crypto industry is undergoing regulatory clarity, CoinDCX is focussing on self compliance and following stringent security measures that are in the best interests of its users and the community at large.

CoinDCX publishes their list of on-chain and off-chain balances as part of its Proof of Reserves report CoinDCX publishes their list of on-chain and off-chain balances as part of its Proof of Reserves report

CoinDCX India’s leading and most valued crypto exchange, published its Proof of Reverses (PoR) today  in partnership with Nansen. With this CoinDCX’s on-chain and off-chain asset balances  and  complete list of wallet addresses are available for public viewing and verification with the click of a button. The PoR data will be readily available, and CoinDCX plans to post monthly updates on its R2L ratio, to give customers complete confidence in the health of the company’s business and the safety of investments.

In a pioneering effort amongst Indian crypto exchanges, CoinDCX last week, shared its reserves to liability (R2L) ratio for top 10 assets. As a self-regulated exchange, CoinDCX never exposes user funds to price and credit risk. All customers can access their funds at any time for trade purposes. Secondly, the exchange has taken a conscious decision to not have its native token to safeguard users from the risk of making the exchange’s native token a large part of their portfolio. Thirdly, risk management and regular audit is an integral part of its system. CoinDCX has deployed state of the art multi-party-computation (MPC) technology to transfer assets among wallets that ensures security of funds.

Sumit Gupta, Co-Founder and CEO, CoinDCX said, “CoinDCX has always been on the forefront when it comes to adopting best practices of risk management, transparency and consumer protection. We have the highest levels of corporate governance and have always maintained a user liability to assets ratio greater than 1:1. As the next  step towards implementing transparency, we have published our on-chain and off-chain assets and are also working on implementing cryptographic proof of liabilities in addition to certified audits of our financial health. With this, we want to instill complete trust  in the users. We feel that access to transparency is not a privilege but a right of  users.”

While the Indian crypto industry is undergoing regulatory clarity, CoinDCX is focussing on self compliance and following stringent security measures that are in the best interests of its users and the community at large. CoinDCX further strengthened its commitment towards transparency by announcing that it is working with reputed audit firms to certify its financial health and will publish the results shortly. Reiterating that POR is just one side of the coin, COinDCX said it believes in the need to have an equal visibility of liabilities, to ensure a healthy Reserves to Liability (R2L) ratio.

We're proud to help the CoinDCX team increase transparency by publicly displaying their Proof-of-Reserves.” said Alex Svanevik, Co-Founder and CEO at Nansen. “This is an important step in building trust with the wider crypto ecosystem and we're excited to continue to work closely together.”

Published on: Nov 25, 2022, 4:03 PM IST
Posted by: Vivek Dubey, Nov 25, 2022, 4:01 PM IST