Binance - 17th Reserves Audit Released

Binance, one of the world's largest cryptocurrency exchanges, announced the completion of its 17th reserves audit, simultaneously informing that the platform's assets are secure by over 100%. This report presents a detailed overview of Binance's reserves and the methods the exchange employs to ensure the security of users' funds.

According to the report, Binance utilizes methods of zero-knowledge proof to confirm the existence of user balances in their wallets. This means that the exchange holds reserves and assets sufficient to cover all user assets at a 1:1 ratio. When a user deposits Bitcoin, Binance's reserves increase by at least one Bitcoin, ensuring that client funds are fully secured. At the same time, the report indicates that this procedure does not encompass the exchange's institutional positions.

The reserves audit demonstrated a significant increase in user-held assets on the platform. The most notable increases were observed in held BTC, ETH, and USDT. Held BTC increased by 1.08% to 6,099 BTC, ETH increased by 11.64% to over 4.44 million, and held USDT increased by 8.36% to 21.1 billion. Additionally, user deposits in BNB assets increased by 19.25% to 6.34 million BNB. Binance's total reserve assets rose to 117.1 billion, indicating a net inflow of 3.9 billion from the previous month.

According to Binance, maintaining all user assets (and certain reserves) at a 1:1 ratio signifies a lack of debt in the capital structure and the existence of an emergency fund (SAFU fund) for exceptional situations.

The reserves audit report by Binance serves as an important reassurance for customers that their assets are fully secure on the platform. The exchange assures that it holds sufficient reserves to cover all client withdrawals in unforeseen circumstances, building trust in its operations among investors.

*This is not a financial advice