And it’s gone
Published in
2 min readNov 19, 2022
Annnnnnnd it is gone…
Crypto lending and CEX are collapsing.
So how can we prevent the next FTX?
The idea of proof of solvency or proof of reserves is not a new idea.
The idea is to give users a sense of normality about how much CEX really got and can be redeemed money to their customers to avoid a bank run.
There are two ways: on-chain and off-chain.
On-chain route is to show off your cold store wallet or any wallet to demonstrate your total assets. Like Binance did.
