OKX Proof of Reserves Is Officially Released

https://www.okx.com/support/hc/en-us/articles/10724065063437

OKX has consistently committed to protecting the safety of users' funds. Transparency is critical to the healthy development of the entire cryptocurrency industry. As an industry-leading cryptocurrency trading platform, OKX has always committed to establishing a baseline of trust in the industry to strengthen the future of cryptocurrency.

In order to make it easier for users to understand the security of the platform and the transparency of their assets, OKX has launched Proof of Reserves (PoR) at 08:00 UTC on Nov 23. By making on-chain wallet holdings public, you can always verify that your funds are backed 1:1 by real assets. We will also regularly publish Proof of Reserve audits, making it easy for you to verify that your assets are safely held in our reserves.

What is Proof of Reserves?

Proof of Reserves is a common audit method used to ensure a custodian holds sufficient funds to cover all assets held on their exchange.

How does OKX prove transparency through Proof of Reserves?

There are 3 key steps to verify our Proof of Reserves:

1) We use a verification method known as a "Merkle tree", a data structure designed to encrypt data securely, to verify that all user assets held on the exchange.

2) We verify ownership of OKX on-chain wallet addresses and the total OKX wallet holdings.

3) Finally, we verify our reserve ratio by comparing total user asset holdings with total exchange assets from our on-chain wallet addresses.

When comparing the total assets held in OKX's on-chain wallets with total user assets from the Merkle root, if our total on-chain asset balance is greater than or equal to total users' asset balance, then the reserve ratio will confirm OKX has Proof of Reserves.

Customer trust is the cornerstone of OKX's success. At OKX, we hold 1:1 reserves of all customer assets on our platform and give you full transparency of your funds and our reserves. OKX will continue to build a safe, transparent, open and fair environment, so as to promote the healthy development of the entire industry.