Proof of reserve

Every broAsset is backed 1:1 by the real underlying held at a public custody address. Coverage — custody divided by outstanding supply — is computed live and anyone can reproduce it from on-chain data.

What coverage means

For each market, coverage is the value of the underlying in custody divided by the value of the broAsset supply outstanding, at the same reference price. A market is healthy at 100% or above: there is at least as much of the real asset in custody as there are broAssets in circulation. The status resolves to one of:

• Backed — custody ≥ supply. Fully covered.
• Under — custody < supply. Coverage needs attention.
• Custody pending — supply exists but the custody wallet isn’t funded yet (e.g. a hedge still settling).
• No supply — nothing minted, nothing to back.

The live attestation

The broker publishes a live reserves attestation. For every broAsset it reports the outstanding supply (mint minus burn), reads the custody balance directly from the underlying’s chain, and returns the coverage and status. It is served at /api/reserves and surfaced on the admin dashboard and the app’s markets page as a per-asset Covered badge plus a total coverage figure.

Verify it yourself

1. Read the broAsset supply on Sui (outstanding mints for the market).
2. Read the balance of the underlying at the broker’s published custody address on its native chain (a Solana SPL / native balance for the launch set).
3. Confirm custody ≥ supply, valued at the same reference price. That is exactly what the attestation does — you are re-deriving it, not trusting it.

Custody & roadmap

The launch uses a bounded hot custody wallet with the address published. The target is an Ika 2PC-MPC dWallet: signing authority is split so the broker can hold and move assets across chains without a bridge and without any single party holding the full key, while moves stay gated by an on-chain policy. Governance capabilities (upgrade and admin) are held in a cold multisig, separate from the operational hot key.