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Backed is pleased to announce that they have integrated Chainlink Proof of Reserve (PoR).

This development provides users with a transparent and trust-minimized means to confirm the collateralization of our tokenized assets.

Backeds implementation represents a significant step forward in how users can gain assurance that their assets are appropriately collateralized.

PoR introduces a way for users to independently verify the adequacy of collateral reserves on-chain at any time. This is crucial for maintaining the integrity of tokenized assets.

As explained in a blog post, heres how the proof of reserves solution works:

Adam Levi, Co-founder, said:

When we first set up Backed, we knew how important it would be to have verifiable, on-chain, transparent data that proved our assets were fully collateralized. Integrating Chainlink Proof of Reserve is a major milestone in achieving the companys goal of creating products that are verifiably backed 1:1 and fully composable.

According to the update, proof of reserves is important, because:

Proving legitimate asset collateralization has never been more important. We want to be trusted through transparency, providing independently verified data that is consistently updated and available on-chain. By providing this data, users can be confident that the amount of bTokens will be equal to the amount of the underlying asset held.

Chainlink PoR provides smart contracts with the data needed to calculate the true collateralization of any on-chain asset backed by off-chain reserves.

Operated by a decentralized network of oracles, Chainlink Proof of Reserve enables the autonomous verification of collateral in real-time, helping ensure user funds are protected from unforeseen fractional reserve practices or fraudulent activity.

Rather than forcing users to trust paper guarantees, Chainlink PoR is deployed for automated on-chain verification that gives users a superior guarantee of an assets underlying collateralization and generates a higher degree of transparency around asset collateralization.

Continued here:

Chainlink Proof Of Reserve Now Active For Backeds Tokenized Real-World Assets | Crowdfund Insider - Crowdfund Insider