Proof of Reserves Audit: Develop Your Legally Compliant White-Label Crypto Exchange
Though decentralized exchanges are superior it is not predominant in this world. Crypto users find it difficult to utilize non-custodial exchanges rather than having their dependencies on custodial platforms. On the other hand, it is not recommended to compromise the legality and security issues pertaining to assets or reserve balances. To put an end to this dilemma, developers have come forth with the best solution – a proof of reserves audit (Por). Instigating this software into existing or new exchanges can bring stability in handling the assets thus safeguarding them to gain back trust.
What Is a Proof of Reserve (Por)? To What End Will It Persist?
In general, reserves represent the assets that are present in the crypto exchange platforms. Proof of Reserve is an auditing software that stipulates the asset balances for assessment periodically. It cross-verifies the balances of crypto assets so as to ensure the financial flow’s stability. It serves as a third-party authentication that audits the reserve balances by using some cryptographic signatures like the Merkle tree.
Merkle tree connects the snapshots of the asset balances taken at every audit to estimate and compute the balances. This thorough check of the reserves by proof of reserve auditing software makes the operation in crypto exchange seamless and smooth.
Fringe Benefits of a Proof of Reserve (PoR)
- Intensified transparency
- Legal and contract compliant
- Reliable auditing software
- Third-party authentication
- Customizable
Conclusion
Hence, you can adopt the top white-label crypto exchange that is certified with seamless proof of reserve auditing software.
