Bitbuy Proof Of Reserves 2021 - Key Findings

Our third annual proof of reserves and platform due diligence report has been completed by Blockchain Intelligence Group.

Here are the key findings from this year’s report:

Cold Storage Exceeds Self-Mandate

Bitbuy  meets  and  exceeds  its own  mandate  requiring  95%  of  customer funds to be held in cold wallet storage. The percentages of customer funds held in  cold  wallet  storage  for  Bitcoin,  Litecoin,  and  Ethereum  are  above  98%.  The  slight  variance in percentage between the virtual assets is minimal, with an average cold wallet storage of 98.12%.  

Bitbuy Scores High On Customer Protection Efforts

Bitbuy diligently makes an effort to protect its customers and warn its potential customers and existing clientele of the inherent risks and potential losses that can occur in the crypto space  due  to  market  vulnerabilities  and  volatility.  The  site’s  user  agreement  includes  clauses  that  provide  clarity  regarding  the  potentially  high-risk  nature  of  virtual  assets.  Bitbuy  also  regularly  updates  and  informs  its  clients  on  the  ever-changing  dangers  of  virtual asset related scams via social, newsletter, client service calls, emails, and on-site banners

Low Transactional Risk Score For Incoming And Outgoing Crypto Transfers

Based on the 90-day activity sample, the Bitbuy Transactional Risk Score is 98.97% (Low Risk). Both incoming and outgoing transfers were analyzed for potential risks associated based on the address Results of the Outgoing Analysis indicate that between approximately 75% – 82% of the outgoing transactions  scored  in  the  range  of  50+ (low risk),  with  the  range  fluctuating  through  the  90-day period. Results  of  the  Incoming  Analysis  indicate  that  approximately  91%  of  the  incoming  transactions scored in the range of 50+, with a slight increase noted in February.

No Notable Adverse Media Coverage Or Senior Management Background Flags

No negative or adverse media coverage was found of Bitbuy during an exhaustive search. A search of the U.S. Treasury’s Office of Foreign Assets Control sanctions database examining Bitbuy as well as associated members of senior management yielded no relevant results. An additional search concluded that members of senior staff at Bitbuy are not politically exposed persons.

Access the full redacted report here

See 2020 report here

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