Following the Binance hack, which drained approximately $6.34 billion from hot wallets, CertiK recommends that exchanges impose a dollar cap on funds kept online. The firm argues that cold-storage ratios are insufficient for assessing security because two exchanges with the same ratio may expose very different amounts. Internal controls and transaction limits are among the security factors overlooked by this method. Coinbase, Upbit and Gate reported keeping more than 99%, 99.17% and 88.26% of their assets in cold storage, respectively, while South Korean authorities have called for stricter minimum requirements.
Source: Read the original article
Disclaimer: this content is for information purposes only and is not financial advice. Cryptocurrencies are highly volatile: you may lose all of your capital. Always do your own research. Legal notice
