Definitely.
As I was saying slightly earlier, we are not allowed to offer margin or lending, and as an extension, we are not permitted to participate in fractional reserve banking from the traditional perspective. We hold all client assets one-to-one, and we put out proof-of-reserve audits to show our users where the assets actually are.
Related to that under the modified crypto rules that layer onto the more traditional securities requirements, we are required to hold 80% of client assets in what's referred to as “cold storage”. This is industry term of art. Essentially, a great way to think about it, from my perspective, is that a traditional commodity like gold will sit in a vault somewhere, and when gold is traded, it doesn't move in and out of the vault. You're trading contracts for the actual ownership, but in reality, it stays in storage.
What does that mean for the crypto industry? Well, the security regulators require platforms like ours to hold 80%-plus of our client assets in the vault, in cold storage, at all times, and only take them out if we're going to be moving them around. In practice, what that means for trading platforms like ours is that 95%-plus of our assets typically remain in cold storage, with only a small portion of that—3% to 5%—coming out to do daily transactions.