• Home
  • NFT
  • Bitcoin
  • Events
  • Contact
    • Contact
    • Our Journalists
    • About Us
    • Partners
Tuesday, September 26, 2023
No Result
View All Result
Our Bitcoin News
  • Home
  • NFT
  • Bitcoin
  • Events
  • Contact
    • Contact
    • Our Journalists
    • About Us
    • Partners
  • Home
  • NFT
  • Bitcoin
  • Events
  • Contact
    • Contact
    • Our Journalists
    • About Us
    • Partners
No Result
View All Result
Our Bitcoin News
No Result
View All Result

Binance Explains the Collateral Status of its Self-Issued “B Tokens”

by Kurt Ebenzer
25 January 2023
European investor asks Binance for compensation of 16 billion yen Automatic liquidation tour
Share on FacebookShare on Twitter

Storage of collateral assets

Major crypto asset (virtual currency) exchange Binance has been found to have stored collateral assets and customer assets for tokens issued by the company in the same wallet. 24, Bloomberg reported.

Binance seems to have confirmed this. Binance explained that this was unintentional and they accidentally stored it in the same wallet.

The tokens issued by the company are “B tokens” pegged with Binance Bridge. For example, when using Bitcoin (BTC) on the BNB smart chain, a B token called “BTCB” is issued so that Bitcoin can be used outside the Bitcoin blockchain. In the case of BTCB, bitcoin corresponds to the collateral asset.

Bloomberg points out that about half of the 94 types of B tokens currently issued by Binance are held in a wallet named “Binance 8”. He claimed that the amount of collateral assets in this wallet is higher than the amount needed to issue B tokens. This surplus is said to be client assets.

A Binance representative told Bloomberg that they were aware of the mistake and were working on moving the funds to a collateral wallet.

Relation: U.S. SEC strengthens monitoring of cryptocurrency exchange asset proof = report

Binance Explained

Binance published a blog on the B token collateral asset as of the 19th.

In a blog post, Binance explained that in the past, collateral assets were stored in private cold wallets and were not immediately moved to hot wallets.

Therefore, he pointed out that it may sometimes give the impression that the collateral assets of B tokens are insufficient. On the other hand, he stressed that the most important thing is that B tokens are backed 1:1 by collateral assets.

In response to Bloomberg’s report, a Binance representative explained to cryptocurrency media Decrypt that discrepancies in volumes are possible for the reasons mentioned above.

RelationBinance Bitcoin Reserves Over 100% Audited Company Report

What is Binance

Operates a major virtual currency exchange with a large number of traded stocks, trading volume, and registered users. In addition, we are developing a wide range of businesses such as the activities of the venture capital department, the provision of educational content, and philanthropic activities. In November last year, the company announced its entry into the Japanese market.

▶️Cryptocurrency Glossary

Relation: What is Binance, the world’s largest virtual currency exchange?

Previous Post

European Parliament to consider taxation on crypto asset trading, mining, etc. | coindesk JAPAN | Coindesk Japan

Next Post

Blockstream raises approximately 16 billion yen to expand mining facilities

Kurt Ebenzer

Kurt Ebenzer

Kurt is an experienced writer with vast experience in documentation and interpretive math. His path to crypto journalism starts with Ourbitcoinnews and he hopes to shine new light in the noisy crypto media space.

Related Posts

Dogecoin soars 10% ── Expected to be adopted by “X” | CoinDesk JAPAN | Coin Desk Japan

Dogecoin soars 10% ── Expected to be adopted by “X” | CoinDesk JAPAN | Coin Desk Japan

by Damien Martin
25 July 2023

Dogecoin (DOGE) rose for a second straight day on speculation that the memecoin will play a bigger role in the...

“Bitcoin / Web3 is necessary in the world” Hiroyuki × Yuzo Kano WebX special dialogue decision

Hiroyuki x Yuzo Kano Special Talk Report “Does Bitcoin/Web3 Need in the World?” | WebX Conference

by Kurt Ebenzer
25 July 2023

Focus on building emerging technologies Web3 and Bitcoin are said to be one of the hottest topics in the world,...

U.S. SEC Chairman Requests 10 Billion Yen Budget Increase, Including Support for Virtual Currency

US District Court Announces Date in Coinbase v. SEC Case

by Kurt Ebenzer
25 July 2023

Provide due dates for petitions and legal advice letters U.S. District Judge Catherine Polka Faira announced the upcoming schedule for...

No Result
View All Result

Recent Posts

  • Dogecoin soars 10% ── Expected to be adopted by “X” | CoinDesk JAPAN | Coin Desk Japan
  • Hiroyuki x Yuzo Kano Special Talk Report “Does Bitcoin/Web3 Need in the World?” | WebX Conference
  • US District Court Announces Date in Coinbase v. SEC Case
  • U.S. Ripple’s CTO highly evaluates the potential of real asset tokenization | WebX Conference
  • HashPort Group concludes basic agreement with KDDI to consider comprehensive collaboration in 3 Web areas | CoinDesk JAPAN | Coin Desk Japan
Our Bitcoin News

© 2021 Our Bitcoin News

Navigate

  • Home
  • Press Release
  • Sponsored
  • Our Journalists
  • Advertise
  • Editorial Policy
  • Privacy Policy
  • Terms & Conditions

Follow Us

No Result
View All Result
  • Home
  • NFT
  • Bitcoin
  • Events
  • Contact
    • Contact
    • Our Journalists
    • About Us
    • Partners

© 2021 Our Bitcoin News