Renowned cryptocurrency exchange and Web3 innovator Gate.io announced that it has upgraded its Proof of Reserves (PoR) process by incorporating cutting-edge zero-knowledge technology, specifically zk-SNARKs.
Marking a major advancement to the project, the upgraded PoR will now encompass the top 100 digital assets, reinforcing transparency through regularly published certificates. The move aims to improve security, privacy, and transparency in handling user assets.
Gate.io initially introduced PoR in 2020, pioneering a third-party audit system to verify exchange wallets and ensure user balance data integrity. However, in response to the evolving landscape and potential vulnerabilities, the exchange has now integrated zero-knowledge proofs to bolster the authenticity of its PoR process.
Using zk-SNARKs eliminates the risk of fabricated accounts with negative balances and enhances privacy protection, accuracy, and overall risk reduction. Users can now verify their assets securely while maintaining the confidentiality of both their assets and identities.
PoR certificates, a testament to Gate.io’s commitment to transparency, will now cover the top 100 digital assets by market capitalization. These certificates, generated through the revamped process, will be regularly published on Gate.io’s Proof of Reserves webpage. Users can independently verify the results, fostering heightened trust in the exchange.
With a surplus of around $400 million USDT worth of various assets beyond user deposits, Gate.io demonstrates a robust financial position, underlining its dedication to safeguarding users’ rights and interests. This surplus acts as a buffer, ensuring that the assets held in reserve surpass total user deposits, contributing to the platform’s stability.
The release of the upgraded PoR process as open source aligns seamlessly with Gate.io’s foundational principles of providing secure and reliable digital asset services. By staying true to its mission, the platform addresses current concerns and anticipates future market demands, as evidenced by its commitment to evaluate and expand supported currencies regularly.