Binance's latest Proof of Reserves report reveals a significant increase in Bitcoin holdings, with user balances rising by 4% month-over-month to 617,620 BTC. This marks an addition of 23,768 BTC since November 1. Meanwhile, Ethereum and USDT balances have declined, indicating a shift in user behavior towards Bitcoin accumulation during market volatility. Binance's reserves are near $120 billion, with USDT reserves reaching a record $42.8 billion.
The exchange's stablecoin over-reserves have hit a six-month high, enhancing its liquidity and risk resistance capabilities. This development aligns with regulatory expectations for full reserve availability for redemptions. Despite a global trend of Bitcoin leaving exchanges, Binance's growing reserves suggest it is gaining market share. Analysts note that historically low Bitcoin reserve ratios on Binance could precede significant price rallies, as reduced sell-side liquidity may fuel future surges.
Binance's Bitcoin Reserves Surge Amid Rising Stablecoin Over-Reserves
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