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Proof of Reserves
Evidence that an exchange actually holds its clients' assets. It raises trust and lowers the risk that the exchange is misusing customer funds.
Category: ExchangesWhere you see this on charliedesk
Related terms
CEX vs DEX
A CEX is a centralized exchange (Binance, Coinbase) with custody and KYC. A DEX is a decentralized exchange where you trade straight from your own wallet.
Hot vs cold wallet
A hot wallet is connected to the internet, fast but more exposed. A cold wallet is offline (hardware), safer for long-term holding.