Crypto Exchanges Scramble to Compile 'Proof of Reserves' as FTX Contagion Grips Markets (2 minute read)
Binance, Gate.io, KuCoin, Poloniex, Bitget, Huobi, OKX, Deribit, and Bybit will soon publish their Merkle tree reserve certificates to increase transparency. Merkle trees are data structures that serve to encode blockchain data efficiently and securely. Using Merkle trees will allow third parties to verify user holdings. Binance founder Changpeng Zhao urged the industry to start providing proof of reserves after the recent events involving FTX.