Binance Holds Over 100% Reserves for 29 Consecutive Months

Binance Maintains Strong Reserve Ratio Amid Market Speculation

Binance has upheld a reserve ratio exceeding 100% for the 29th straight month, even as speculation swirls about a potential sell-off of its Bitcoin holdings. According to blockchain analytics firm CryptoQuant, this sustained reserve level reinforces Binance’s financial stability and transparency.

The reserve ratio is a crucial metric that indicates whether an exchange holds sufficient assets to back customer balances. A figure above 100% means Binance has more reserves than required, reducing the risk of insolvency and strengthening user confidence.

Binance’s 100%+ Reserves Confirm Financial Stability

CryptoQuant analyst Maartun reported that Binance’s total customer balance currently stands at 633,092 BTC. Of this amount, 606,143 BTC is directly held by Binance, while 26,948 BTC is stored as BTCB—a tokenized version of Bitcoin on the BNB Smart Chain managed by third-party custody.

To ensure accuracy, CryptoQuant cross-references Binance’s reported BTC exchange balances with on-chain Bitcoin network reserves. The data aligns, reinforcing Binance’s transparency regarding its financial disclosures.

The report comes amid claims that Binance is liquidating BTC holdings in favor of USDC stablecoin. However, Binance has denied these allegations, clarifying that the activity is part of its standard accounting practices. CryptoQuant’s analysis further supports this explanation.

Following the collapse of FTX in November 2022, Binance introduced proof-of-reserve (PoR) reports to boost transparency and reassure users of its financial health. The ongoing maintenance of reserves above 100% highlights the exchange’s commitment to security and trust.

Binance as a Leading Liquidity Provider

Beyond its reserve management, Binance has also emerged as the leading centralized exchange for crypto outflows, processing significant withdrawals of Bitcoin and Ethereum.

According to CryptoQuant, early March saw 6.40 million ETH withdrawn from centralized exchanges, with Binance accounting for 46% of those outflows. Similarly, 496,000 BTC left exchanges, with Binance facilitating 27% of the withdrawals.

While such large outflows might raise concerns, analysts believe they signal institutional accumulation, strategic asset reallocation, and growing confidence in Binance as a key liquidity hub for major investors and institutions.

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