Gate reports 104% cold reserve coverage as methodology draws scrutiny

Gate has published figures stating that its cold reserves represent 104% coverage, presented as evidence that customer liabilities are fully backed. The claim was reported by CryptoSlate alongside questions about how the underlying numbers were assembled.

The central criticism concerns timing rather than the headline percentage. According to the report, the exchange's new hot-wallet loss test draws on separate measurement bases, meaning the figures involved were not captured at a single, common point in time. Separate snapshot dates make it harder for outside observers to compare reserve and liability figures directly, or to confirm that both sides of the calculation describe the same moment.

Independent verification still pending

The report also notes that independent verification of the current PoSEC proof-of-reserves data is still in progress. Until that review concludes, the 104% coverage figure rests on the exchange's own disclosure rather than third-party confirmation.

Proof-of-reserves disclosures have become a standard response to user concerns about exchange solvency since 2022, but the practice varies widely across platforms. Common points of contention include whether liabilities are fully included, whether wallets are controlled by the exchange at the time of reporting, and whether figures are captured at the same timestamp. Some firms have moved toward fuller attestations, while others publish only partial snapshots.