Binance Proves It’s Not Playing Fractional Reserve Games—Backs Major Tokens 100%+ in Latest Audit

In a move that’ll either reassure traders or make them wonder why this wasn’t standard all along, Binance drops its latest proof-of-reserves report showing full backing for major assets. No funny business—just cold, hard crypto (and a dash of ironic timing, given regulators’ recent obsession with ’protecting’ us from exchanges).

Key takeaways:

- BTC, ETH, BNB, and other blue-chips all covered at 100% or higher

- The audit comes as CZ’s successor pushes for transparency amid tightening global regulations

- Skeptics note the report only covers spot holdings—no word on derivatives or off-balance-sheet wizardry

While traditional banks operate on ’trust us’ math, Binance seems determined to prove it actually has the goods. Whether that matters more than the SEC’s latest enforcement theater remains to be seen.

The platform’s largest backed asset remain Binance USD (BUSD), maintaining a reserve amounting to more than double its customer balances or approximately 206.04%. The crypto exchange has long-ceased support for it USD-pegged stablecoin since it closed its U.S. markets in 2023.

However, in February this year the exchange’s U.S. branch reopened USD transactions for the first time since it closed down the service in June 2023 due to the SEC lawsuit.

Moreover, the exchange holds more than 8.6 billion USDC (USDC) in its reserves or equal to 152.19% of it customer-held assets. The platform’s customer net balances hold 5.6 billion USDC at the moment. Meanwhile, its FDUSD (FDUSD) reserves stand at a ratio of 107.84%, exceeding customer asset holdings by more than 82 million FDUSD.

Proof of reserves is information relayed by centralized crypto exchange’s to assure customers that their deposits are fully backed by on-chain reserves. The crypto exchange introduced this concept after the bankruptcy of FTX to demonstrate its readiness to cover any volume of withdrawal requests.