Paper 2018/1210

MProve: A Proof of Assets Protocol for Monero Exchanges

Arijit Dutta and Saravanan Vijayakumaran

Abstract

Theft from cryptocurrency exchanges due to cyberattacks or internal fraud is a major problem. Exchanges can partially alleviate customer concerns by providing periodic proofs of solvency. We describe MProve, a proof of assets protocol for Monero exchanges which can be combined with a known proof of liabilities protocol to provide a proof of solvency. MProve also provides a simple proof of non-collusion between exchanges.