On-chain analysis company CryptoQuant released a report stating that Binance had previously disclosed a Proof of Reserves (PoR) report for BTC by an external auditor, which showed that 97% of Binance’s BTC liabilities (customer deposits) were collateralized by exchange assets. Collateral increases to 101% when BTC lent to customers is included. To assess the data in Binance’s Proof of Reserve report, CryptoQuant compared Binance’s liabilities as expressed in the report with Binance BTC Reserve data, CryptoQuant’s on-chain metric, which is CryptoQuant’s estimate of Binance customer deposits. CryptoQuant found that Binance reported liabilities very close to its estimate (99%). Additionally, on-chain data suggests that Binance’s ETH and stablecoin reserves are not currently exhibiting “FTX-like” behavior. CryptoQuant stated that Binance’s “clean reserve” is 88.95%, meaning that its own token, BNB, remains low as a percentage of its total assets. In comparison, Huobi has a clean reserve of 56%, Bitfinex 66.5%, Kucoin 81.64%, Crypto.com 97%, and OKX 100%.