Proof of Reserves with FIO


The following is an overview of how FIO Procol, using Attestations, be used as a solution for Proof of Reserves for CEX or any other centralized entity.


  • Centralized Exchange (CEXes) typically do not disclose blockchain accounts holding user funds and even if they do, there is no proof they control it.

  • CEXes do not disclose user balances, so the liability side is not known.

  • Users do not know if the (CEX) has enough funds to cover user withdrawals.


  • Decentralized way to prove the CEX has enough funds to cover all user liabilities.

  • FIO Crypto Handle already used to aggregate multiple blockchain accounts behind a single human readable name, e.g. treasury@cex

  • CEX will

    • Map all its accounts from all blockchains and record a signature proving they control the private key.

    • Continuously update balances for each of their accounts providing only account number hash and balance for all tokens

  • Users will

    • Enter their account number on any website which will be hashed

    • Confirm balance is accurate



CEX user account balances can be easily and in a decentralized manner be compared to CEX treasury holdings.