MEXC Releases October Proof of Reserves Audit
The exchange reports reserve ratios exceeding 100 percent across major assets following an independent audit by Hacken.
Updated on Oct. 16, 2026 in Investing
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Cryptocurrency exchange MEXC released its October 2026 Proof of Reserves report confirming that reserve ratios for BTC, USDT, USDC, and ETH remain above 100 percent. An independent audit conducted by Hacken verified these figures, which utilize Merkle Tree technology to ensure transparency.
Why it matters
Regular audits help build platform credibility and provide users with verifiable evidence that their digital assets are fully backed by exchange holdings. Maintaining these ratios and a dedicated protection fund is intended to enhance security and user trust in the platform's liquidity.
The October 2026 audit confirms BTC reserves at 294%, USDT at 122%, USDC at 115%, and ETH at 111%. The platform's Guardian Fund currently holds 2,000 BTC and over 100 million USDT, with plans to grow the fund to $500 million.
The players
MEXC
MEXC is a global cryptocurrency exchange that provides a wide range of digital asset trading services.
Hacken
Hacken is a cybersecurity auditing firm specializing in blockchain security and cryptocurrency exchange assessments.
The details
The firm employs a combination of cold and hot wallet management protected by multi-signature authorization to secure user funds. Verification is enabled through a Merkle Tree framework that allows users to independently confirm their assets.
Timeline
May 2026: The initial BTC allocation to the Guardian Fund took place.
September 2026: MEXC added 1,000 BTC to the Guardian Fund.
October 16, 2026: MEXC released the official October 2026 Proof of Reserves report.
Market Dynamics
This report follows a pattern set by industry-wide responses to the FTX insolvency crisis, where transparent reserve audits became a standardized practice for exchanges to prove solvency. Such reporting helps differentiate exchanges in a competitive global market.
Retail investors can verify their asset coverage using the Merkle Tree tool provided by the platform to ensure their balances are supported. This transparency allows for more informed risk management when selecting an exchange for long-term digital asset storage.
The takeaway
Transparency reports serve as a vital tool for users to evaluate the security of their holdings on centralized platforms. Investors should consistently monitor these updates to confirm that their chosen exchange continues to maintain adequate reserve levels.
What happens next
MEXC intends to grow the Guardian Fund to a total value of 500 million dollars within the next two years.
Further reading
For more information on market verification standards, visit the Investing section.
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Do you trust monthly proof of reserves reports to protect your digital assets?
