Binance proof of reserves shows Bitcoin and Ethereum fully backed at 100.25%

Trust in crypto exchanges has been a work in progress since late 2022, when FTX’s collapse taught everyone that “your funds are safe” can mean very different things. Binance’s latest Proof of Reserves report, based on a snapshot taken August 1, offers its answer to that lesson: on-chain wallets holding more than the platform owes users, across every major asset it tracks.

The numbers are straightforward. Bitcoin is backed at 100.25%, Ethereum matches that figure exactly, and the stablecoin picture is even more comfortable, with USDT at 103.62%, USDC at 107.64%, and USD1 at 112.80%.

What the numbers actually say

The snapshot was taken at August 1, 2026, at 00:00:00 UTC, pegged to Bitcoin block height 962079. That level of specificity matters. It makes the data point-in-time verifiable rather than a vague general claim.

On the Bitcoin side, Binance’s net user account balances stood at 656,644.187 BTC, while on-chain wallets held 658,293.119 BTC. In English: the exchange keeps slightly more Bitcoin on-chain than users are collectively owed, which is exactly the point of the exercise.

Ethereum net balances came in at approximately 3.98 million ETH, also covered at 100.25%. The USDT position is the largest in dollar terms, with net holdings valued at roughly $32.9 billion, backed at 103.62%.

SOL sits at exactly 100.00%, which is the minimum acceptable threshold. It passes, but there is no cushion there worth celebrating.

The methodology behind these figures is worth understanding. Binance uses two overlapping verification tools: Merkle tree proofs and zk-SNARKs, a form of zero-knowledge cryptography. The Merkle tree approach lets any individual user verify their own balance is included in the total. The zk-SNARK layer proves the aggregate math is correct without exposing anyone’s private account data.

How Binance got here

Binance started publishing Proof of Reserves in late 2022, directly in response to FTX. The early versions relied on third-party audits, which had their own limitations, including auditor liability concerns that led some firms to quietly walk away from crypto attestations during that period.

The shift to a self-verified zk-SNARKs system was a technical upgrade, not a retreat from accountability. Zero-knowledge proofs, when implemented correctly, are mathematically stronger than a traditional audit because they do not rely on trusting the auditor’s methodology or independence.

The BTC holdings figure tells a growth story as well. Net balances on the platform stood at around 591,000 BTC in early 2025. The jump to 656,644 BTC by August 2026 represents a meaningful increase in user deposits.

What investors should watch

The $32.9 billion USDT position is significant. Tether remains the dominant stablecoin for crypto trading pairs, and a 103.62% backing ratio at that scale means Binance is holding reserves in excess of what users could theoretically withdraw all at once.

USDC’s 107.64% backing and USD1’s 112.80% ratio follow the same logic. Higher overcollateralization in stablecoins reduces the risk of a run scenario where user withdrawals outpace available reserves.

The growth in BTC holdings from 591,000 to 656,644 between early 2025 and August 2026 is the kind of concrete, time-stamped data point that appears in custody assessments and counterparty risk reviews.

The one area worth watching going forward is the SOL position sitting precisely at 100.00%. A collateralization ratio at the floor with no buffer means any increase in net user balances, even a small one, would theoretically put it below par before the next rebalancing.