Glossary

Wallets, Security & Custody

How does Proof of Reserves protect my crypto holdings?

Proof of Reserves is a verification method that lets a platform demonstrate it actually holds enough assets to cover what users are owed. It typically combines on-chain evidence of the platform's holdings with a cryptographic record of customer balances, so users can confirm their funds are backed rather than lent out or missing. For example, a live attestation might show that total reserves meet or exceed total customer deposits. It does not insure against loss, but it gives transparency into whether holdings are fully backed. Qatobit maintains Live Proof of Reserves so you can verify backing yourself.

Crypto investments are subject to market risk and volatility. Past performance is not indicative of future returns. This is general information, not investment advice — consider your own circumstances or consult a qualified adviser before investing.

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