HTX Proof of Reserves Shows Incorrect USDS and USDD Balances on the Blockchain

HTX's September reserve report doesn't match the blockchain

Crypto exchange HTX published a September proof of reserves (PoR) — a public audit showing the assets an exchange claims to hold — that contains errors confirmed by on-chain data. Protos, a crypto investigative outlet, found that two stablecoin balances in the report do not match what the blockchain actually records for the addresses HTX cited.

A proof of reserves is meant to give users confidence that an exchange holds enough assets to cover customer deposits. When the numbers don't add up, it calls that confidence into question.

Two stablecoin discrepancies found on Etherscan

HTX said it held 360,949.90 USDS — a dollar-pegged stablecoin — in wallet address 0xdaa4393013f359fd63a133a3b893d311aba4e471 at block height 25876316. According to Etherscan's balance checker, that address held zero USDS at that block height. The first time USDS entered that address was at block height 25889452, which occurred on September 2. The PoR in question was dated September 1.

The second error involves USDD, another stablecoin associated with HTX founder Justin Sun. HTX reported 44,975,772.00 USDD in address 0x18709e89bd403f470088abdacebe86cc60dda12e at the same block height. The actual balance at that point was 44,886,000 USDD — a gap of 89,772 USDD.

Key points

• HTX claimed 360,949.90 USDS in an address that held zero at the cited block height; the USDS arrived a day after the report.
• HTX claimed 44,975,772.00 USDD in another address that actually held 44,886,000 — a shortfall of 89,772.
• Both findings were verified using Etherscan's Account Balance Checker tool, which queries actual blockchain records.
• Protos contacted HTX for comment, but the exchange did not respond before the article was published.

A pattern from earlier months

These are not new types of errors for HTX. Protos previously reported that in a May proof of reserves, HTX claimed a specific amount of STEAK-USDC — a wrapped stablecoin — that the cited address did not hold. However, the address did contain an equivalent amount of sUSDS, suggesting HTX may have mixed up its own asset disclosures.

The recurrence of mismatches raises questions about how HTX ensures its reported reserves align with actual holdings at the time of each report.

What is confirmed

The blockchain data is public and verifiable. Etherscan confirms that at block height 25876316, the first address held zero USDS and the second address held 44,886,000 USDD — not the amounts HTX reported. The timing of the USDS transfer into the first address (September 2) also falls after the September 1 date of the PoR.

What is still unclear

HTX has not publicly explained the discrepancies. It is not yet clear whether these were clerical errors, systematic accounting issues, or something else. Without a response from the exchange, the cause remains unknown.

Why this matters for exchange users

Proof of reserves is one of the main ways exchanges demonstrate they hold user assets. When the numbers in a PoR don't match the blockchain, users lose a key tool for verifying their funds are safe. HTX is the largest crypto exchange by trading volume in China, so the size of its user base is notable. These findings do not prove the exchange is insolvent or acting in bad faith, but they do show its reserve disclosures have accuracy problems.

Source

• Protos