Author: Steven Roose 2019-01-29 22:03:04
Published on: 2019-01-29T22:03:04+00:00
A draft of a new Bitcoin Improvement Proposal (BIP) has been created that outlines a proposal for constructing proof-of-reserves transactions. The BIP provides a standard format for the construction of proofs, allowing general proof-verification software to be created and easing integration with existing wallet infrastructure. The motivation behind this proposal is to provide a way for companies managing large amounts of Bitcoin to prove ownership over their funds in order to prevent significant loss without disclosing events to the public. The proof format is designed to be flexible and easy to use with existing systems, formatted as regular Bitcoin transactions but with some slight adaptations. The proposal also includes a file format for packaging multiple proofs and relevant metadata using Protocol Buffers. Finally, an extension to BIP 174 PSBT format is proposed to help signing devices recognize proof-of-reserve transactions. A proof-of-concept implementation of the PSBT extension can be found in the rust-bitcoin project. A work-in-progress implementation for producing and verifying proofs in the described format is also available.
Updated on: 2023-06-13T16:49:05.876050+00:00