Michael Saylor, the executive chair of major Bitcoin-buying firm Strategy, formerly MicroStrategy, says institutions posting onchain proof-of-reserves is a “bad idea” that could pose security risks.
“The current, conventional way to publish proof of reserves is an insecure proof of reserves,” Saylor said when asked about institutions adopting the transparency measure at a May 26 event on the sidelines of the Bitcoin 2025 conference in Las Vegas.
“It actually dilutes the security of the issuer, the custodians, the exchanges and the investors. It’s not a good idea, it’s a bad idea.”
Saylor didn’t answer whether Strategy would publish its proof-of-reserves when asked by Blockware Solutions head analyst Mitchell Askew whether his firm would do so.
I asked @saylor if @MicroStrategy has any plans to publish on-chain proof of reserves
His answer will SHOCK you
“It’s a bad idea.”
– Security Risk
– Irrelevant without also having Big 4-audited liabilitiesCheck it out 👇 pic.twitter.com/tIxUckgbEp
— Mitchell