Ben Zhou, co-founder and CEO of Bybit, the world’s third most visited crypto exchange, has come out to discuss his roadmap toward better transparency in the industry.
The Bybit CEO called on the broader industry to step up together and help reassure nervous customers and governments that crypto is a valuable contributor to the financial system and has a central part to play in the future of financial services.
Zhou made this comment after rolling out a comprehensive framework designed to re-establish trust and commit to comprehensive, industry-wide transparency. He highlighted that a robust, comprehensive, proof-of-reserves program would need time to develop and could not be created, installed, and implemented overnight. Zhou commented that;
“Bybit is committed to an industry-wide, fully transparent proof-of-reserves (PoR) solution that demonstrates without a doubt that we hold our client's funds in custody, and are worthy of their full trust — and that is what we are working on.”
According to the Bybit CEO, the complexity of cryptocurrency businesses varies and includes various areas such as scale, scope, and reach. He added that it would take some months for Bybit to complete and provide a comprehensive and true picture of its accounts that is acceptable to every stakeholder and helps re-establish trust — rather than patchy information that could ultimately confuse.
Zhou added that crypto exchanges need to be proactive and find a new type of transparency. The transparency method should improve on those used by traditional financial institutions, which still remain opaque and backward.
Zhou suggested that an excellent way to achieve this level of transparency is to take a snapshot of all the clients' UID and balance; package that so it fits into a Merkle tree; send the tree to an independent auditor, and then work with them to verify the numbers. Finally, exchanges should provide their wallet address and test it to show auditors they own the address.
He revealed that Bybit is currently engaged in developing this fully transparent solution to show its reserves in real-time using an independently-audited Merkle tree. The crypto exchange is also engaging a reputable auditor to prove its reserves and audit the company’s books and operations. Zhou added that
“To us, proof-of-reserves is a fully transparent solution that proves our clients’ funds are in custody — that is what we are working on.”
FTX’s collapse last week has seen the crypto industry enter some difficult times. Customers and many players have been betrayed and deceived by the magnitude of recent events
However, Zhou assured Bybit’s clients that the company’s mission remains to provide true value and live up to customer trust and confidence. Bybit has always been a supporter of affordable and accessible financial access for all. He added that;
“The crypto community is stronger than one rogue actor and provides many benefits over traditional financial markets. We are at the forefront of financial innovation, and with the continued support of our customers, we will continue to be so.”
Bybit is a cryptocurrency exchange that was launched in 2018 and offers a professional platform where crypto traders can find an ultra-fast matching engine, excellent customer service and multilingual community support. The low Bybit fees make it one of the fastest-growing cryptocurrency exchanges at the moment. Furthermore, Bybit reviews have generally been positive, as the exchange has provided traders with the necessary tools to trade successfully.