Andrews Stale (OP)
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June 28, 2014, 01:15:17 PM |
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Hello guys,
We are developing an exchange with proof of reserves using merkle tree approach. And putting reserves with hot and cold wallet system. So i want to know how we implement proof of reserves and whats the functional procedure that is suitable for our model without depending on 3rd party.
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jonald_fyookball
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Core dev leaves me neg feedback #abuse #political
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June 28, 2014, 05:41:21 PM Last edit: June 28, 2014, 06:08:34 PM by jonald_fyookball |
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what exactly do you mean here with the "merkle tree approach"?
I think to prove reserves, you will have to one way or another reveal the addresses of your cold storage (someone please correct me if that is wrong)... and then sign a message as well proving you control those addresses. You would then, basically show the amount you have in storage is greater than the volume being traded.
Anyway thats my 2 cent stab at answering your question.
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DeathAndTaxes
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Gerald Davis
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June 28, 2014, 10:24:17 PM Last edit: June 28, 2014, 11:11:20 PM by DeathAndTaxes |
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I think to prove reserves, you will have to one way or another reveal the addresses of your cold storage (someone please correct me if that is wrong)... and then sign a message as well proving you control those addresses. You have proven you own/control "X" BTC. Now prove you are suppose to have "X" BTC. To be truly proven you must also prove the site has the right amount. Say an exchange provably shows you they have 197,218 BTC on hand. That fact doesn't do you much good if they owe customers 218,111 BTC.
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DeathAndTaxes
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Gerald Davis
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June 28, 2014, 10:53:17 PM |
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Agreed it was more hypothetical for jonald.
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jonald_fyookball
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June 28, 2014, 10:58:52 PM Last edit: June 28, 2014, 11:12:47 PM by jonald_fyookball |
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Doh! (Now I Feel dumb)
Well OP , ask and ye shall receive. You want a functional spec, now you have one. Good that this topic is being discussed and hopefully standardized.
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Andrews Stale (OP)
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June 29, 2014, 10:16:54 AM |
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what exactly do you mean here with the "merkle tree approach"?
I think to prove reserves, you will have to one way or another reveal the addresses of your cold storage (someone please correct me if that is wrong)... and then sign a message as well proving you control those addresses. You would then, basically show the amount you have in storage is greater than the volume being traded.
Anyway thats my 2 cent stab at answering your question.
I mean to ask as a exchange we don't want to depend on third party like blockchain or Armory,We want use our own wallet. Can you suggest me procedure how it will goes with the help of organogram or something. (I am not a technical guy,developers will to the rest of coding work and all)
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jonald_fyookball
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June 29, 2014, 10:58:06 AM |
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did you check the link gmaxwell just posted? Some nice looking diagrams in there.
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Andrews Stale (OP)
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June 29, 2014, 12:18:19 PM |
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yeah.That explain very much about implementation of proof of reserves. i want to ask about other procedural implementation for exchange so that developers can work on that by taking as guideline.
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DeathAndTaxes
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Gerald Davis
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June 29, 2014, 04:22:00 PM |
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I mean to ask as a exchange we don't want to depend on third party like blockchain or Armory,We want use our own wallet. Can you suggest me procedure how it will goes with the help of organogram or something. (I am not a technical guy,developers will to the rest of coding work and all)
The procedure described doesn't require blockchain or armory. I am not sure what you are asking. Please be specific exactly what action of which process (proving reserves, proving liabilities, verifying reserves, verifying liabilities) do you believe requires a third party?
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TierNolan
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February 04, 2015, 01:46:27 PM |
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It is available on the Internet Archive
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1LxbG5cKXzTwZg9mjL3gaRE835uNQEteWF
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swapcoiner
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February 05, 2015, 06:32:31 PM |
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Yes, however look at the bitcoin bankruptcy stories, exchanges that have lost to hackers. Keep an eye on security issues too.
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coinpr0n
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February 10, 2015, 01:01:14 AM |
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Wouldn't this be much easier using HD keys? Could even do departmental proof-of-reserves.
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true-asset
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March 09, 2015, 10:49:36 AM |
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The open source exchange software http://peat.io has a working implementation of this in Ruby on Rails. Its being used by yunbi, coinspark and a few other exchanges.
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Uro: A Real Long Term Currency, 1 URO = 1 metric tonne of Urea N46 fertilizer[/url] Urea N46 tracks gradual increases in energy and food prices over the long term.
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