How Many Shiba Inu, XRP, Solana Are In Store On Binance Reserve?

In its latest ecosystem news, the Binance exchange has shared its Proof of Reserves, outlining the amount it holds for major cryptocurrencies, including Bitcoin, Shiba Inu (SHIB), XRP, and Solana (SOL).

The report demonstrates how user balances align with the exchange’s reserves using verifiable onchain tools.

SHIB, XRP, and SOL Reserves Stand Fully Backed

It is worth noting that the report showed the platform’s coin coverage, including how much of Shiba Inu (SHIB), XRP, and Solana (SOL) it held in comparison to what users had stored.

The numbers revealed that Binance held more than enough of each digital currency to match user balances.

For Shiba Inu, users held 54.83 trillion SHIB, while Binance had 55.29 trillion SHIB available.

This included over 55.28 trillion SHIB stored on the platform and approximately 1.55 trillion SHIB held under third-party custody. This gave SHIB a reserve ratio of 100.84%.

It is worth noting that XRP also had a strong backing as shown by the trading platform’s reserve report. Customers had 2.28 billion XRP in their accounts.

Binance held a total of 2.31 billion XRP. Most of which or approximately 2.26 billion XRP, were stored on the exchange.

Additionally, approximately 49.87 million XRP were in third-party custody. This resulted in a reserve ratio of 101.22%.

Solana followed a similar pattern. Binance users held 31.06 million SOL, while the platform had 32.04 million SOL available for trading.

According to the update, about 31.98 million SOL were held directly by Binance. Notably, around 55,543 SOL is stored through outside custodians. This gave Solana a coverage ratio of 103.13%.

How Binance Checks and Verifies Balances

To ensure user funds are fully backed, Binance utilizes a system called Proof of Reserves.

This only covers the customer’s funds. Binance’s corporate holdings are kept separate from what is shown in the report.

The exchange uses a cryptographic structure known as a Merkle Tree in storing and prepare the report.

As designed, the tree helps organize user data and combine it into a single, final output, known as the Merkle Root.

Every user has access to their own Merkle Leaf and Record ID, which allows them to check that their balances were included in the latest report.

This system allows users to verify that their funds are fully backed. Binance also uses zk-SNARKs, a type of zero-knowledge proof, to improve the process.

With this tool, the exchange can confirm that all individual balances make up the total user asset pool without revealing account details.

The tool ensures that all balances are positive, that changes made to the Merkle Tree are valid, and that there is no alteration in the total user sum.

PoR Highlights Wider Asset Changes

It is worth mentioning that in addition to SHIB, XRP, and SOL, Binance shared broader data.

Bitcoin holdings dropped by 19,400 BTC from June, bringing the total to 573,000 BTC. This is a decrease of 3.27%.

ETH balances also decreased by 285,000 ETH, now standing at 5.051 million ETH, representing a 5.34% drop.

On the other hand, Tether (USDT) saw an increase. It increased by 760 million USDT, bringing the total to 29.59 billion USDT, representing a 2.64% rise.

Binance continues to share these reports monthly, providing users with a clear view on assets management and backing across the platform.

Other top crypto exchanges have also implemented the PoR model, a move that is helping to keep the trust in the aftermath of the collapse of bankrupt FTX Derivatives Exchange.

The post How Many Shiba Inu, XRP, Solana Are In Store On Binance Reserve? appeared first on The Coin Republic.