Tokenization introduces a fundamental gap in transparency. How does the public know the token is actually backed by its real-world asset? Auditors fill this transparency gap by bringing this data on-chain.
On-Chain Proof of Reserves brings off-chain reserves data such as bank balances, gold troy ounces held in vaults, treasury bond CUSIPs & maturity dates, real estate appraisals, and more onto blockchains through the Chainlink oracle network for use in smart contracts.
Tokenized asset reserve data exists off-chain, such as bank balances, T-bills, and more.
The information is extracted from the source through one of LedgerLens’ data delivery methods.
The information is ingested and analyzed for completeness and accuracy in accordance to parameters set by the Auditor.
A summary of that information is exposed via API to the Chainlink oracle network.
Node operators read the information and bring it on chain for use in smart contracts, DeFi, and more.
All the tools you need to execute On-chain Proof of Reserves engagement, out-of-the-box in one spot.
Configure your settings, manage your engagements, and support your clients with a robust data collection and reporting engine.
Expose a summary of information that is ingested by LedgerLens and exposed to Chainlink node operators.
{
"accountName": "STBT",
"totalReserve": 49245882.16,
"totalToken": 49072634.3,
"timestamp": "2024-06-18T10:53:59.491Z",
"ripcord": false,
"ripcordDetails": []
}
Use Chainlink Functions to streamline and reduce costs for your clients to bring data on chain.
Essentially, any type of Issuer who issues a token that is holding a real-world asset in reserve to “back” the token. Additionally, ETF issuers can benefit from Real-Time Reserves.
A token issued on a blockchain, pegged to a fiat currency, that is backed by assets held in reserve by the issuer’s custodian on behalf of token holders.
A token issued on a blockchain, pegged to another instrument, such as a carbon-credit or ounce of gold, and is backed by those assets held in reserve by the issuer’s custodian on behalf of token holders.
A traditional or tokenized security is issued and is backed by digital assets held in reserve by the issuer’s custodian
LedgerLens’ team of certified public accountants and blockchain experts are here for engagement support to get your practice off the ground.
Use LedgerLens’ personnel to staff and support your digital asset engagements
Leverage our team of experienced, certified public accountants to train and equip your team.
Access an expansive network of Digital Asset industry connections and knowledge sharing.
No audit or accounting standards exist for publishing data onto blockchains. Therefore, the output for this service alone is not technically an “attestation” when using the definition adopted by auditors and accountants. However, this product can be paired with Real-Time Proof of Reserves to issue a CPA/CA attestation
For standard deployments, the process to integrate all data sources, aggregate data, and publish information via API takes a matter of hours, if not minutes.
For custom deployments, the standard integration timeline is 2 to 5 weeks once development starts. Development start times are dependent on scoping and client onboarding processes.
 The reporting interval is dependent on the least available data source. Assuming all of the token, bank, or other information is readily available via API or similar data extraction method, we can update the endpoint every 30 seconds. The frequency that data is published on chain is dependent on the Oracle Network, and parameters set on the Oracle feed. Typically, data is published at minimum once a day, or more frequently as large changes in balance information occurs.
Nick is a CPA and quality control partner at The Network Firm, a Certified Public Accounting Firm domiciled in the US.
Nick is an advisory to the LedgerLens, and uses his experience as a Partner on crypto audits to influence the product roadmap for LedgerLens.
Nick was inspired to contribute to LedgerLens to provide auditors with the tools needed to navigate the unique challenges of crypto auditing, as he experienced the challenges of auditing crypto companies himself.
Nick holds certifications as a Certified Bitcoin Professional (CBP) and Certified Public Accountant (CPA) and is an active member of the Cryptocurrency Certification Consortium, Chamber of Digital Commerce, OSCPA, and AICPA.
Through LedgerLens, Nick continues to contribute to the advancement of transparent, reliable digital asset auditing.
Noah is the CEO of LedgerLens, a suite of crypto audit tools, with over 15 years of experience in audit, IT audit, and regulatory compliance, specializing in digital assets since 2016.
During his time as an IT auditor in public accounting, Noah tackled the challenges of auditing crypto companies—running nodes, extracting blockchain balances, and verifying customer ownership. While he developed solutions within a Top 20 accounting firm, he saw that most auditors lacked these resources, creating barriers to servicing the growing crypto industry.
This realization inspired Noah to create LedgerLens, empowering auditors with the tools needed to serve the crypto space effectively. Having worked with hundreds of digital asset clients, Noah uses his expertise to address key crypto auditing challenges.
Along with creating LedgerLens, Noah contributes to the future of the profession by serving on the AICPA’s Digital Assets Working Group and leading The Digital Chamber’s Accounting Taskforce.
Through LedgerLens, Noah continues to drive innovation and trust in digital asset assurance.
