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Binance Exchange, the world’s largest crypto trading platform has announced the addition of 11 new tokens to its Proof-of-Reserve (PoR) system, expanding its coverage of assets that users can verify per the state of its current balance sheet.
As announced by the firm, the newly added tokens include MASK, ENJ, WRX, GRT, CHR, CRV, 1INCH, CVP, HFT, SSV, and DOGE. Besides being the largest trading platform by volume, Binance also has a robust market consisting on hundreds of tokens made available to users. The platform has earned a good reputation for taking the lead in the market and following the collapse of the FTX Derivatives Exchange back in November last year, Binance pioneered the release of its balance sheet.
This move has now been adopted by a host of market players, sending some sort of transparency and trust to the industry. According to Binance, the total number of coins within its PoR coverage is now capped at 24, the largest amongst the trading platforms competing with it.
As it revealed, it currently has a reserve ratio of 101.53% for its Bitcoin (BTC) asset which has a total customer balance of 547,627.87 units and an exchange balance of 556,020.95. This figure shows that Binance can redeem all forms of requests from customers and its liquidity will remain healthy.
The token with the biggest reserve ratio is the USD Coin (USDC) which came in at 5490.54% atop a customer net balance of 64,719,791.07 and exchange balance of 3,553,466,042.49. Overall, Binance has as much as $63 billion in assets locked across 24 assets.
Binance Is Leading the Transparency Charge with Its PoR
Binance exchange has continued to set the pace for additional transparency charges with its recently introduced zk-SNARKS technology.
“In February 2023, we made a major update to our PoR system, implementing zk-SNARKs, zero-knowledge protocols that increase the privacy and security of user data during the verification process,” the exchange said adding that it has also made significant headway in giving other players in the field access to copy its tech in a bid to broaden the accountability of centralized exchanges.
“This upgrade marked the first time that a centralized crypto exchange (CEX) had implemented this kind of technology in their PoR work, so we decided to make the code open-source – both because we wanted the rest of the industry to benefit from this innovative application and because we want the community to help strengthen the system.”
The collapse of FTX sent shockwaves that bred distrust for Centralized trading platforms like Binance. Publishing the PoR has helped allay the fear of some users as it pertains to some exchange’s insolvency, however, top questions that abound is whether or not this proofs being shared are actually audited by an independent and recognized account firm.