Washington D.C. – Rep. Giovanni Capriglione (R-TX) introduced HB 1666, to protect Texas consumers’ investments in digital assets and to address the important issue of Proof of Reserves, a crucial component in ensuring the stability and security of the digital asset market.
In May of 2021, the Chamber of Digital Commerce crafted a consistent, industry-wide standard for Proof of Reserves to increase the confidence level of consumers, policymakers, and regulators that exchanges and custodians are managing their assets appropriately. Since then, the Chamber has advocated that this standard of transparency, which requires verification that a custodian holds that appropriate reserve backing the digital asset for the customer, must be implemented and enforced.
The following statement may be attributed to Perianne Boring, Founder and CEO of the Chamber of Digital Commerce:
“The Chamber of Digital Commerce is committed to fostering innovation in the digital asset industry and advancing policies that protect consumers, promote market integrity, and support the growth of this rapidly evolving sector. HB 1666, through its Proof of Reserve requirement, is a significant step in reinforcing transparency and trust in digital asset markets that can demonstrate that they hold sufficient assets to cover all customer deposits.
“Representative Capriglione’s bill highlights the innovative technology advantages blockchain and digital assets offer consumers seeking greater control of their assets, as well as policymakers seeking transparent and efficient accountability for custodians. We commend Representative Capriglione for his leadership on this issue, as well as the work of the Innovation and Technology Caucus of the Texas Legislature and the Texas Blockchain Council.”
On, March 21, 2023 at the DC Blockchain Summit, the Chamber of Digital Commerce will host a session entitled, “Don’t Trust, Verify – Proof of Reserves” where industry leaders will discuss HB 1666 and how a transparent system of proof of reserves can expand and reinforce confidence in our industry.