Ren adopts Chainlink’s Proof of Reserve mechanism to improve the transparency & auditability of its cross-chain assets
Ren has collaborated with Chainlink on a new Proof of Reserve mechanism (live on testnet and soon mainnet) to improve the transparency and auditability of its cross-chain assets bridged into the DeFi ecosystem, starting with renBTC, renBCH, and renZEC, according to the announced on Monday.
The high market demand for wrapped assets in the DeFi world means that the nodes of RenVM now secure about $900M bridged and $270M in cross-chain assets. In a bid to ensure that these wrapped tokens are protected while assets fully collateralize them on their native chain, Ren is adopting Chainlink’s Proof of Reserve as a highly secure and reliable mechanism for users and dApps to leverage in order to audit the collateralization of Ren assets in a fully automated and censorship-resistant manner, removing the need to rely on manual off-chain verification such as reading a monthly audit report.
“We’re thrilled to make Chainlink’s Proof of Reserve feature available to the Ren ecosystem, providing users with additional security features that further enhance the reliability of Ren assets as key sources of collateral and payment in the DeFi ecosystem,” stated Loong Wang, CTO, and Co-founder of Ren. “Chainlink’s ability to automate the on-chain auditing process in a highly reliable and transparent manner, allows users to further trust Ren assets without having to manually track the reserves on their own.”
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