The sort of “war” between crypto exchanges that began with Binance CEO Changpeng CZ Zhao’s accusations against FTX continues: this time it is Kraken co-founder and CEO Jesse Powell who is accusing Binance.
The issue on which Powell has been critical is that of reserves.
Crypto exchange reserves, Kraken exposes itself
As the FTX case has shown, unfortunately, not all crypto exchanges keep enough assets on hand to cover the full amount of customer deposits. So in the event that a sort of “bank run” is triggered, with a large number of users requesting to withdraw their funds, the exchange may be forced to suspend withdrawals, and perhaps even admit to spending their own customers’ money.
For this reason, some exchanges have begun to provide so-called Proof-of-Reserves (PoR), which is evidence that they have sufficient funds in their vaults to cover all of their customers’ deposits.
Indeed CoinMarketCap, which is the crypto aggregator owned by Binance, has even publ
We współpracy z: https://en.cryptonomist.ch/2022/11/28/crypto-exchanges-kraken-binance/
