Vault of Satoshi goes beyond audit, announces full proof-of-solvency

In only a few short months of operation, Canadian cryptocurrency exchange Vault of Satoshi has built a reputation for professionalism in an industry still seen by many as the “Wild West” of finance. Last month, the exchange received a full money transmitter license, giving it equal status under Canadian law to a standard international currency exchange. Today, Vault of Satoshi took another step towards establishing a high level of credibility, launching a new “proof of solvency” tool on their customer dashboard.

Several exchanges have published audits in recent weeks, demonstrating to a third-party auditor that they have control over a claimed number of bitcoins in various addresses. The Vault of Satoshi proof-of-solvency takes this a step further, publishing the addresses and actual number of coins in their cold wallets.

In a post announcing the new feature on Reddit, Director of Marketing Adam Cochran explained that an audit, while useful, “simply wasn’t open enough.”

Users can self validate both their balance and the overall reserves of the exchange by navigating to our security center and selecting “BTC Proof of Solvency”. From there, load the partial tree list, select “online tools” and copy paste in the relevant information to validate the holdings.

Cochran noted that the exchange would not be publishing its hot wallet address, and that users should expect a discrepancy of up to 5-6% in the total balance.