Binance, the popular cryptocurrency exchange, has expanded the number of digital currencies accepted by its proof-of-reserves (PoR) system from 15 to 24 by adding 11 new tokens.
The PoR system ensures that Binance maintains a reserve ratio of 1:1 for all customer funds, as well as additional reserves, which provides users with peace of mind that their funds are secure. The reserve ratios for all supported cryptocurrencies are made public through the PoR system. As of the last data refresh, the reserve ratio for USDC, which is the highest, is 5490.54%, with Binance holding $3.55 billion worth of USDC, and users having a net balance of $64.7 million. Binance USD (BUSD) ranks second, with a reserve ratio of 128.81%, and Binance’s native token, BNB, ranks third, behind only bitcoin and ethereum.
In February 2023, Binance announced a significant upgrade to its PoR system, which includes the incorporation of zero-knowledge proof technology called ZK-SNARKs. ZK-SNARKs enable Binance to verify that it possesses the assets it claims to have without disclosing detailed information about them, thus improving the privacy and security of user data during the verification process. Binance’s PoR system is critical in ensuring that the exchange maintains transparency, honesty, and the necessary reserves to protect its users’ funds.
The recent expansion of Binance’s PoR system by adding 11 new tokens, including ZK-SNARKs, reflects the company’s commitment to the highest standards of security and transparency.
