Gate.io has introduced Proof of Security (PoSEC), a new asset security verification framework designed to extend transparency beyond reserve adequacy to include asset storage structures and risk coverage. The platform announced the launch on November 5, 2026, becoming the first digital asset trading platform to deploy such a system. The framework complements the platform’s existing Proof of Reserves (PoR) mechanism, which Gate first introduced in 2020.
- Cold Storage Coverage Ratio: 104.58% as of November 4, 2026
- Asset Distribution: 88.26% in cold storage, 11.74% in hot wallets
- Total Platform Reserves: Approximately $8.688 billion as of October 18, 2026
- Overall Reserve Ratio: 118.49%
Unlike traditional Proof of Reserves frameworks, PoSEC measures the extent to which cold storage assets cover total user holdings. A coverage ratio of 100% or higher indicates that offline storage alone would be sufficient to cover all user assets even if all hot wallet holdings were lost. Gate defines qualifying cold storage assets as those held offline or under independent custody, requiring multi-party authorization for transfers and independent verification. The platform’s cold storage and hot wallet assets are segregated using multi-signature technology, Multi-Party Computation (MPC), and zero-trust access control protocols.
An independent third-party audit firm is currently verifying Gate‘s PoSEC data, reviewing asset authenticity, control, valuation methodologies, and coverage ratio calculations. The audit report will be published on Gate‘s official website upon completion. The exchange emphasizes that PoSEC and PoR serve complementary functions, collectively covering reserve adequacy, storage security, and risk coverage verification. Gate.io, founded in 2013, operates one of the largest cryptocurrency trading platforms globally, offering access to over 5,400 digital assets.
