CertiK Urges Strict Dollar Caps for Exchange Hot Wallets
Security firm suggests dollar-based limits to curb hack risks rather than relying solely on cold storage.
Cybersecurity firm CertiK has recommended that digital asset exchanges establish maximum dollar value limits for their hot wallets. This measure aims to contain potential losses in the event of cyberattacks.
Currently, many platforms use the ratio of assets in cold storage as their primary security metric. CertiK argues that this practice is insufficient to guarantee the full protection of user funds.
Global guidelines vary by jurisdiction. Countries such as South Korea, Singapore, Japan, and Hong Kong require between 80% and 98% of assets to remain offline. CertiK warns that excessively high levels of cold storage can hinder withdrawals and concentrate risks within key management systems.
The proposal suggests that exchanges define caps based on liquidity needs and financial recovery capacity. The goal is to balance daily operations with circuit-breaker mechanisms that limit losses during security incidents.
The debate is gaining momentum following recent attacks that targeted internet-connected wallets. Risk management in digital environments is becoming a central point for the stability of the global crypto asset market.
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