The sudden fall of major American exchange FTX in November is only a replica of the examples of Mt.Gox, the exchange founded by French Mark Karpelès, and the Canadian platform QuadrigaCX, in 2014 and 2019, respectively. due to disastrous management and use of fractional reserves. A method that consists of working without all customer deposits in reserve and so risky in the context of an undeniably volatile crypto market. Each time these recurring earthquakes threaten to be followed by multiple aftershocks on other companies in the industry. It is important and urgent for major cryptocurrency players to reassure investors and avoid further panic. This again brings to the fore the issue of proof of reservations.
• What is proof of reserves?
Proof of Reserves is an initiative that aims to strengthen the transparency of service providers…
Source: Le Figaro
I am Ben Stock, a passionate and experienced digital journalist working in the news industry. At the Buna Times, I write articles covering technology developments and related topics. I strive to provide reliable information that my readers can trust. My research skills are top-notch, as well as my ability to craft engaging stories on timely topics with clarity and accuracy.