India-based Bitcoin and altcoin exchange WazirX has released its proof-of-reserve (PoR) report. The report explained that the ratio of coins to reserves to liabilities has increased to 1:1. Meanwhile, altcoin projects held by the stock market attracted attention. Here are the details…
WazirX releases proof of reserve
Crypto exchange WazirX reported in a tweet on Jan. 11 that it has released proof of reserve with a total holding of 286.10 million in USDT. To increase transparency and trust, the crypto exchange has publicly released wallet addresses, exchange listing and proof-of-reserve report. The exchange’s tweet included the following statements:
At WazirX, the safety and security of user funds is our top priority. With that in mind, we’ve made our wallet addresses, exchange listing, and independent #ProofOfReserves report public.
The stock market has Bitcoin and these altcoin projects
Currently, the total user asset of WazirX is around $286.1 million. The stablecoin pegged to the US dollar was displayed in USDT format. About 92 percent of total user assets, or $259.07 million, were held in Binance wallets and $26.45 million in other exchanges. The top 5 cryptocurrencies held are as follows:
- 6.09 trillion Shiba Inu (SHIB)
- 1,356.54 Bitcoin (BTC)
- 20,072.54 Ethereum (ETH)
- 303.32 million DOGE
- 16.53 million MATIC
Also, the crypto exchange’s native altcoin WRX reserves are around 95.67 million. So it’s worth about $14 million. After publishing its PoR report, WazirX claimed to have enough reserves to meet the user’s needs in unforeseen scenarios. Also, the crypto exchange has a Reserve/Debt ratio of more than 1:1. WazirX has now become India’s largest crypto exchange by reserves. WazirX previously reported that its trade volume fell 76 percent to $10 billion in 2022 due to its move on the crypto tax and CBDC in India.
The exchange’s reserves are kept in Binance wallets
Meanwhile, about 92 percent of the exchange’s total user assets, or $259.07 million, were held in Binance wallets and $26.45 million in other exchanges. In the WazirX blog post, “WazirX has more total assets than WazirX owns on behalf of its users. With this, we are not only India’s largest crypto exchange by volume, but also India’s largest crypto exchange by reserves.”
WazirX added, “90% of user assets are held in wallets on Binance and 10% balance is stored in hot and hot wallets.” This statement is significant as, in August of last year, WazirX co-founder Nischal Shetty and Binance CEO Changpeng Zhao (CZ) gave a public Twitter conversation about who controls WazirX. “While user assets are in Binance wallets, WazirX has the API that gives us control of the tokens,” said Rajagopal Menon, vice president of WazirX.