Key Highlights:
- Binance released its Proof of Reserve report, data indicates that the exchange holds equal or more assets than user funds across all major tokens.
- According to the report, user holding Bitcoin increased while users holding ETH and stablecoins dipped on the exchange.
- Binance provides these reports so that it can maintain transparency within the community.
Binance has released its latest Proof of Reserve report as of February 1, 2026 and it shows that it holds enough crypto to fully back user deposits. The exchange uses zk-SNARKs, a privacy-focused technology, through which users can even verify their own funds without revealing personal data.
The report also confirms that Binance’s total assets are way higher than what it owes to its users. This is important because it clearly indicates that the exchange is financially stable and builds trust within the crypto community members.
BTC Holdings Edge in Volatile Market
According to the report, users hold about 639,000 BTC on the platform, which indicates an increase of 0.41% from last month, January 2026. The important part here is that Binance actually holds way more Bitcoin than it owes users, which is about 100.07% and this indicates that all its deposits are fully backed.
Most of this Bitcoin is kept directly on the exchange and a smaller portion is stored (20,452.714 BTC) with the trusted third-party custodians as a safety measure. Even though the overall crypto market has not been doing well, the increase here shows that there is steady user activity and strong demand from institutional players.
ETH Sees Sharp Decline, Reserves Still Overcollateralized
Binance reported that the total Ethereum that is held by the users has dropped down by 3.74%. The holdings have come down to 4.18 million ETH. This drop indicates that as the market was dipping, people withdrew or moved their ETH somewhere else.
Even after this drop, Binance still holds a little more ETH than what the users own (100.02%). This again indicates that all of the funds are fully backed and most of the ETH is stored directly on the exchange, while a smaller portion (183,699.577 ETH) is kept with the external custodian for safety reasons.
USDT and Stablecoins Also Show Reductions with Ample Buffers
The exchange reported that the user holdings of USDT dropped by 3.07%. The number has come down to 36.85 billion and it indicates that some users moved their funds out.
Even then, Binance holds more than enough USDT, which is about 103.76%, which again gives a strong safety buffer. Talking about safety, the exchange has also stored 508,944,238.206 USDT in external custodian.
Other Assets
BNB holdings by the exchange are also above user balances, which is about 101.26% and for SOL, AAVE, ASTER, PEPE and TRUMP the exchange holds exactly as much as the users hold, which indicates a 100% backing, so there is no extra margin in these cases.
Final Thoughts
These reports became important after the FTX collapse and in today’s time transparency is something that matters the most to the users. Binance’s report indicates that all of the assets are backed 1:1 or more which builds trust within the crypto community.
Also Read: Binance Reports Major Drop in Sanctions-Linked Trading, Hits Near-Zero Levels
