Paris, France, November 25, 2022 /PRNewswire/ — Binance has taken the next step in providing transparency of user funds. Disclosure of Binance Hot and Cold Wallet AddressesThis latest update shows proof of BTC reserves and an update using a Merkle tree data structure for users to verify their BTC holdings.
This is the first iteration of the feature, with validation coming soon for ETH, USDT, USDC, BUSD, and BNB. Binance is also committed to onboarding independent third-party auditors to validate Merkle Tree data.
“Given recent events, it’s understandable that the community would demand more. cipher This goes far beyond what is currently required of traditional financial institutions. As such, we are pleased to offer this latest feature to help our users verify their funds. ” Zhao Changpeng “CZ”, CEO and Founder of Binance. “Binance’s user community is exponentially larger than the next largest exchange, so this is a massive undertaking and it takes weeks to populate the data for most of the assets in custody. We are working to get the next update to meet community expectations as soon as possible.”
proof of reserve
New Proof of Reserve site Designed to represent Binance. janitorholds all client funds, including reserves.Simply put, when a user deposits Bitcointhe reserves on Binance will increase by at least 1 Bitcoin Make sure your client’s funds are fully backed.
People can check the site to see proof of Binance reserves, showing Binance reserve ratios and customer debt.
Two ways to verify funds
The site also offers two new ways to easily validate transactions against Binance’s Merkle tree. The first way people can verify their funds is via the Binance website. Here you can verify his BTC funds against the Merkle Tree on Binance in a few simple steps.
After logging into the Binance website, click on “Wallet” and then “Audit”, a unique record ID to verify that the assets are covered and to check the user’s balance during the audit is generated.
If you want to go one step further and verify your funds yourself, the source code is Python application Cross-reference itself.
what’s next
Binance is also looking to introduce ZK-SNARK in the coming weeks. ZK-SNARK is a powerful tool that brings the benefits of privacy and simplicity to proof of reserves and liabilities. The reason Binance is doing this is that they offer margin and loan services in some countries. The audit results show each user’s net balance, net worth, and liabilities. where Net Balance = Equity – Debt. Therefore, some people may have negative asset balances. As such, Binance is also working on implementing ZK-SNARKs as another way for these users to prove that they have enough other assets to cover their funds with collateral. This proves that each user’s total net balance (USD) is non-negative.
Our commitment remains unchanged
This latest update from Binance is meant to reassure people that Binance holds all user assets (and reserves) 1:1. Binance is also debt-free in its capital structure, Emergency Fund (SAFU Fund) It protects the user in case of extreme cases.
About Binance
Binance is the world’s leading blockchain ecosystem, Cryptocurrency An infrastructure provider with a suite of financial instruments, including the largest digital asset exchange by volume. Trusted by millions of people around the world, the Binance platform is dedicated to increasing financial freedom for its users and features an unrivaled portfolio. cipher Products and services such as trading and finance, education, data and research, social good, investment and incubation, decentralization and infrastructure solutions. For more information, see: https://www.binance.com
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