CoinSwitch Report Says Its Reserves Exceed Customer Holdings, Can Cover All User Redemptions

CoinSwitch Report Says Its Reserves Exceed Customer Holdings, Can Cover All User Redemptions

Technology



India's crypto exchange CoinSwitch released the third edition of its Proof of Reserve (PoR) on Thursday, May 23. The report claimed that the value of total consumer holdings on CoinSwitch, including cryptocurrencies and INR, was Rs. 2, 774.10 crore as on March 31, 2024. The exchange also disclosed that its total holdings now stood at Rs. 3,497.22 million, ensuring that it had sufficient crypto and INR reserves to cover all user redemptions. The company said it wanted to reassure its user community that they can fully withdraw their crypto assets at any time.

Of CoinSwitch's total crypto holdings reported at Rs. 3,497.22 million, 26 percent was Bitcoin, eight percent was Dogecoin, eight percent was Shiba Inu, seven percent was Ether, five percent was Solana and the remaining 46 percent represented other cryptocurrencies, according to the report.

As of March 31, 2024, total customer reservations with CoinSwitch have grown by 93 percent compared to the previous edition of the Reservation Test Report, which was published in July last year.

“We understand that earning and maintaining the trust of our users is paramount. Our third POR demonstrates our commitment to transparency and accountability, giving our customers every confidence that their assets are safe and secure with us,” he said Balaji Srihari, Head of Business at CoinSwitch, in a statement commenting on the development.

The exchange has also made available to the public an updated list of major crypto wallet addresses to allow users to verify findings. As part of the update, CoinSwitch said it had more than 85 percent of cryptocurrencies in custodial wallets.

This trend of publishing proof of reserves report accelerated the pace in the crypto sector two years ago after promising crypto projects such as the FTX exchange, collapsed due to mismanagement of funds, leaving investors high and dry

The exchange's new report further stated that the verification of CoinSwitch's crypto and INR holdings was conducted in accordance with the standards prescribed by the Institute of Chartered Accountants of India.



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