Strategy Chair Criticizes Onchain Reserves Transparency

Michael Saylor, executive chair of Strategy, warned that publishing onchain proof-of-reserves is a “bad idea” due to security risks. He argued it exposes wallet addresses, weakening institutional security. While exchanges adopted the practice after FTX’s collapse for transparency, Saylor stressed it’s unsuitable for enterprises and could undermine investor safety by revealing sensitive financial infrastructure.

I asked @saylor if @MicroStrategy has any plans to publish on-chain proof of reserves

His answer will SHOCK you

“It’s a bad idea.”

– Security Risk
– Irrelevant without also having Big 4-audited liabilities

Check it out 👇 pic.twitter.com/tIxUckgbEp

— Mitchell ✝️🇺🇸 (@MitchellHODL) May 27, 2025