Michael Saylor, executive chairman of Bitcoin-focused firm Strategy (formerly MicroStrategy), has voiced strong opposition to institutions publicly sharing onchain proof-of-reserves, calling it a security risk.
Speaking at a May 26 event held alongside the Bitcoin 2025 conference in Las Vegas, Saylor said the typical approach to disclosing reserves onchain is flawed. “The conventional method for publishing proof-of-reserves is actually insecure,” he stated. “It compromises the safety of not only the issuer but also the custodians, exchanges, and investors. It’s not beneficial—it’s harmful.”
When asked by Blockware Solutions head analyst Mitchell Askew whether Strategy would share its own reserves onchain, Saylor chose not to respond.
Proof-of-reserves are commonly used by crypto exchanges to prove they hold sufficient assets to cover client deposits, and are also employed by crypto-backed ETFs and similar investment products. The concept gained popularity after the collapse of major exchanges like FTX and Mt. Gox, with many firms seeking to reassure users by demonstrating transparency.
However, Saylor argues that this approach isn’t suitable for large institutions. “No serious enterprise security expert would recommend revealing every wallet address, making it easier to trace transactions and movements,” he warned. “Ask AI to deeply analyze the security implications of making wallet addresses public—it’ll give you dozens of reasons why that’s a long-term risk to any company.”
Following the FTX implosion in late 2022, a number of firms including Binance, Kraken, OKX, and Bitwise began releasing proof-of-reserves to build trust among users. But Saylor pointed out that such disclosures are incomplete, as they only reveal what a firm holds, not what it owes.
Strategy, under Saylor’s leadership, remains the largest corporate holder of Bitcoin, owning 576,230 BTC valued at $62.6 billion. It is followed by MARA Holdings, which holds 48,137 BTC, according to data from BitcoinTreasuries.NET. Over 110 publicly listed companies worldwide now hold Bitcoin on their balance sheets.
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