Bitcoin News Today: Binance Proves 21K Bitcoin Reserves to Rebuild Post-FTX Trust

Binance has released its October 2025 Proof-of-Reserves (PoR) report, confirming the exchange holds 21,000 Bitcoin (BTC) in reserves to fully back user assets. This disclosure aligns with Binance's ongoing commitment to transparency, a practice intensified following the collapse of FTX in late 2022. The report specifies that user funds are held at a 1:1 ratio, with additional reserves to ensure operational solvencyProof of Reserves - Binance^[1].

The verification process leverages cryptographic tools, including Merkle Trees and zk-SNARKs, to allow users to confirm their asset balances independently. Binance's Merkle Tree structure aggregates user account data into a single hash, enabling third-party audits and individual verification. zk-SNARKs further ensure that all user balances contribute to the total reserves without exposing sensitive informationProof of Reserves - Binance^[1]. This methodology has been standardized in monthly disclosures, with the September 2025 report showing 608,017 BTC in user-held reserves, reflecting a 2.85% increase from the prior monthBinance Releases September 1, 2025 Proof-of-Reserves Snapshot^[3].

Corporate holdings, distinct from user reserves, were not included in the October PoR calculation. A separate report from Protos.com noted that Binance's non-customer assets, such as BTC and USDT, declined by over $8 billion in January 2025, raising questions about reallocated corporate fundsBinance moved $8 billion off its proof-of-reserves^[2]. However, these movements do not impact user asset guarantees, as corporate and user reserves are maintained in separate accountsProof of Reserves - Binance^[1].

Binance's reserve disclosures have grown in prominence amid regulatory scrutiny and market volatility. The May 2025 PoR report highlighted over 616,000 BTC in user balances, with over-collateralization ratios exceeding 100% for major assets like USDC and BNBBinance Publishes 30th Proof-of-Reserves Report^[4]. CEO Richard Teng emphasized that these efforts reinforce user confidence during turbulent market conditions, particularly as global regulators, including the EU's MiCA framework and the U.S. GENIUS Act, seek to standardize crypto oversight.

The October 2025 PoR underscores Binance's strategic emphasis on cryptographic transparency. By combining real-time on-chain data with zero-knowledge proofs, the exchange aims to address institutional and retail concerns about fund safety. Analysts note that such disclosures may influence broader regulatory acceptance, particularly as crypto markets grapple with evolving compliance requirementsBinance Publishes 30th Proof-of-Reserves Report^[4].