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Saylor Responds To Bitcoin Proof Of Reserve Demand — And Shocks Everyone
- Michael Saylor challenged the concept of on-chain proof of reserves at the Bitcoin 2025 conference, emphasizing its drawbacks.
- Saylor argued that the current implementations of proof of reserves are risky and do not provide a complete picture of solvency.
- He likened publishing institutional wallets to sharing personal and vulnerable information, making them susceptible to various threats.
- Saylor highlighted that assets without considering liabilities are insufficient for institutional investors to assess risk.
- He proposed a standard involving auditor attestation and stringent financial practices to ensure transparency and security.
- Saylor emphasized the importance of regulatory compliance and rigorous financial reporting to build trust with investors.
- He acknowledged the theoretical possibility of implementing proof of reserves using zero-knowledge proof in the future.
- Saylor advised against relying solely on on-chain data and stressed the significance of counterparty discipline in the cryptocurrency space.
- He underlined the necessity for proper governance and security measures in handling corporate treasuries holding Bitcoin.
- Saylor's approach prioritizes financial standards and transparency over on-chain proof of reserves in the context of institutional investment.
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