HTX, formerly Huobi, has unexpectedly halted its proof-of-reserves feature, as reported by fintech analyst Adam Cochran from Cinneamhain Ventures.
This decision coincides with challenges faced by stablecoin TrueUSD (TUSD), allegedly linked to HTX stakeholder Justin Sun, struggling to maintain its intended $1 value for over two weeks.
Cochran highlighted live data from DefiLlama, indicating HTX’s ETH holdings at $120 million, contrary to the latest audit, which reported nearly $300 million.
Earlier today, HTX’s proof-of-reserves webpage temporarily lacked crucial information on cryptocurrency holdings, including reserve ratios, wallet balances, and user asset totals. Although the PoR page has been restored, the timing raises questions, especially amid ongoing concerns about TUSD.
The stablecoin has faced increased scrutiny for its alleged lack of full backing, with its trading value dropping below $1 since January 7th, according to CoinMarketCap.
An added layer of concern emerged when TrueUSD failed to provide timely attestations, raising doubts about having sufficient U.S. dollar reserves to support the stablecoin. This lack of transparency has fueled speculations about the potential under-collateralization of TrueUSD.
