Binance, a leading cryptocurrency exchange, has surpassed $100 billion in assets held on behalf of its users.
Binance claims to hold all user assets at a 1:1 ratio, with additional reserves verifiable using the Proof of Reserves (POR) system for 31 supported digital assets. Although useful, many have criticized these transparency measures by cryptocurrency exchanges because they fail to disclose audited fiat holdings, customer and company debt, and other information to assess a company’s financial health.
Binance’s latest POR snapshot from early March shows that reserves are already close to that figure. The combination of strong inflows this month and the resulting rise in cryptocurrency prices means Binance has reached the milestone for the first time since it began disclosing user asset holdings in November 2022, the company said in a blog post on Monday.
The total value locked on Binance’s centralized exchange has nearly doubled in the past year, from about $67 billion to $115 billion, according to DeFiLlama data.
Binance TVL. Image: DeFiLlama.
A record month for the cryptocurrency sector
In a landmark month for the industry, daily trading volume on cryptocurrency exchanges, DeFi TVL, global cryptocurrency investment product assets under management, and U.S. spot Bitcoin exchange-traded fund cumulative trading volume all exceeded $100 billion earlier this month.
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