"Gmaxwell's 'prove how (non)-fractional your Bitcoin reserves are' scheme"

Protocol
1

Here’s the original IRC transcript where it was discussed, and the Hacker News post where I saw it mentioned originally.

Low-Fidelity Summary:
Extend the protocol to allow for a customer to confirm that the amount of coins held by exchange are in line with the amount of coins required to pay out withdrawal requests.

I can see a major benefit to the end-user if mechanisms like this one were in place; it would significantly reduce the concern that an exchange was solvent or insolvent (/looking at you, MtGox).

2

[quote=“Ben, post:1, topic:1680”]Here’s the original IRC transcript where it was discussed, and the Hacker News post where I saw it mentioned originally.

Low-Fidelity Summary:
Extend the protocol to allow for a customer to confirm that the amount of coins held by exchange are in line with the amount of coins required to pay out withdrawal requests.

I can see a major benefit to the end-user if mechanisms like this one were in place; it would significantly reduce the concern that an exchange was solvent or insolvent (/looking at you, MtGox).[/quote]

Ben, this sounds really interesting. I will be looking into it soon.
Thanks for posting it.