Mazars states users’ BTC reserves on Binance are fully collateralized

According to a different document printed on 12 ,. 7, South-African auditor Mazars confirmed that cryptocurrency exchange Binance possessed control of 575,742.42 of customers’ Bitcoins (BTC) worth $9.7 billion during the time of publication. With the process, Mazars mentioned that “Binance was 101% collateralized.”

The scope from the inquiry incorporated customers’ place, options, margin, futures, funding, loan, and produce makes up about Bitcoin and wrapped Bitcoin (WBTC). Besides the Bitcoin network, BTC wrapped on Ethereum, BNB Chain, and Binance Smart Chain were also incorporated within the inquiry.

Included in its proof-of-reserves pledge, Binance requested an agreed-upon-procedures (AUP), or perhaps an audit that’s limited in scale, on November. 22. Commenting around the results, Mazars authored that:

“We make no representation concerning the suitability from the AUP. This AUP engagement isn’t an assurance engagement. Accordingly, we don’t express a viewpoint or perhaps an assurance conclusion. Had we performed additional procedures, other matters might have started to our attention that could have been reported.”

As disclosed in the procedures, Mazars individually acquired the nominal worth of Binance customers’ assets by testing a number of wallet addresses controlled through the exchange. Auditors requested Binance to transfer assets to designated addresses and back to be able to verify evidence of possession. Additionally, the firm used its software to aggregate client data it acquired and computed the Merkle Root Hash. This permitted Binance’s clients to ensure their Merkle Leaf individually and cryptographically as being a member of the Merkle Root.

“We’ve complied using the relevant ethical needs. With regards to this engagement, there aren’t any independence needs that we’re needed to conform”

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