Proof of Reserves is a start, but you need Proof of Solvency

Proof of Reserves proves only one side of the balance sheet.

Proof of Reserves (PoR) is the notion that blockchain technology allows a fund or any other entity to cryptographically prove its reserves, or, roughly, its assets. Had FTX done a PoR, maybe it would have never crashed and burned. The logic is pretty simple and straightforward, and appealing. But it’s missing something: the other side of the balance she…