As part of CoinDesk's State of Crypto 2023 event in Washington, D.C., Galaxy Digital Head of Firmwide Research Alex Thorn discusses the significance Senators Thom Tillis (R-NC) and John Hickenlooper (D-CO) introducing the Proving Reserves of Others Funds, also known as the "PROOF Act."
So the Proof Act mandates that any entity that custody crypto assets on behalf of a of a customer, right? So that would include clearly like crypto exchanges, custodians that they submit on a monthly basis, a cryptographic attestation of assets held under custody combined with a formal audit of their liabilities and it, I think would add significant consumer safety and transparency to the industry and it would directly address I think some of the blow ups from last year in ways that some of the comprehensive legislation sort of get at. But like this is much more direct and I and I really, in particular really applaud Senator Hickenlooper and Tillis for coming together and acting here because this is something that is an industry best practice. But this bill would really put standards around how to do that and, and bring that safety to Americans around the country.