WazirX, the Indian crypto exchange, has said that it is currently working with a third-party vendor to conduct an audit of its reserves, which will provide a proof of its holdings.
? Update on Proof Of Reserve
WazirX will soon be sharing the Proof Of Reserves. Currently, the team is working with a third-party vendor and helping them with the audit. Rest assured, your funds are safe with us ?
— WazirX: India Ka Bitcoin Exchange (@WazirXIndia) December 9, 2022
This is an ongoing process and the results of the audit will be shared with the public when they are available. In the meantime, WazirX has assures its customers that their funds are safe and secure.
This announcement comes after Binance, a major cryptocurrency exchange, decided to dissociate itself from WazirX on Aug. 5 in response to India’s Enforcement Directorate freezing an account belonging to WazirX. The account was believed to be involved in money laundering activities.
Proof of reserves is a method used by cryptocurrency exchanges to demonstrate that they hold enough cryptocurrency to cover the balances of their customers. This is an important transparency measure that helps to build trust with customers and ensure that their funds are safe.