Binance moves BTC to new cold wallet: funds SAFU

Crypto exchange giant Binance has moved at least nine figures of its bitcoin holdings to a new blockchain address, the company announced on Monday.

The move does not affect the security of user funds, which are locked in cold storage on Binance.

Heavy move from Binance wallet

According to data from Blockchain.com, Binance’s new cold storage wallet (as referred to binance) received 15,000 BTC, worth $399 million, at 05:47 on Monday.

The transaction involved a single large transfer of 117,000 BTC. Pre-existing Binance Cold Wallet Address to another new address, totaling over $3 billion in value. data from bitinfocharts This morning reflects a total reduction of 130,000 BTC from the exchange’s cold wallet.

Today, #binance will be taking money from us #B T c Cold wallet at our new address – 1Pzaqw98PeRfyHypfqyEgg5yycJRsENrE7t.

If you see any significant movement #B T c Today from our wallet, that’s why.

Funds are SAFU.

– Binance (@binance) June 19, 2023

According to coinBinance currently has the largest bitcoin balance of any exchange, with a total of 510,425 BTC. Meanwhile, Coinbase Pro has a figure of 486,568 BTC.

This month the US Securities and Exchange Commission (SEC) sued both the exchanges for violating several securities laws.

The former allegedly “mixed” user assets with its US subsidiary Binance.US, along with Merti Peak Limited – an entity owned by Binance CEO Changpeng Zhao (CZ). The SEC sought to freeze all assets on Binance.US as a result, but was later denied by the judge presiding over the case.

reuters Claimed Last month, Binance was mixing user deposits with corporate funds in their bank accounts at the now-defunct Silvergate Bank and Signature Bank. However, Binance said that the deposits in question were transferred for the purpose of converting them to the BUSD stablecoin within user accounts.

Suspicious proof of reservation of Binance

Following the failure of rival exchange FTX in November, Binance promised to implement “Proof of Reserve” – a blockchain-based auditing system to verify that the exchange actually holds its users’ crypto assets.

while the company briefly Free A report back in December to verify its customers’ bitcoin balances was 101% backed by an audit the company quickly backpedaled and Distant From all crypto companies themselves.

Jesse Powell, the former CEO of Kraken, whose exchange also uses a proof of reserve system, criticized Binance’s Proof of Stake which has many holes.

Unlike Binance, Coinbase is subject to audit by ‘Big Four’ accounting firm Deloitte, as it is a publicly traded company.