As Binance celebrates its seventh anniversary, it maintains its status as the largest global crypto trading platform by volume. Reports confirm ongoing growth in its Bitcoin (BTC) holdings. Centralized exchanges like Binance and Coinbase facilitate cryptocurrency transactions, serving as intermediaries for buyers and sellers.
Binance’s Bitcoin reserves surge by 10%
Ki Young Ju, founder and CEO of CryptoQuant, reveals that Binance Exchange has boosted its Bitcoin holdings by 10% since early 2024, contrasting sharply with other exchanges experiencing an 8% decline in BTC holdings.
Ki Young Ju, founder and CEO of CryptoQuant, reports that Binance has increased its Bitcoin holdings by 10% since early 2024, while other exchanges have seen an 8% drop. This news coincides with Binance’s seventh anniversary, celebrated with a limited-time referral promotion offering up to 700 BNB in token vouchers for eligible users.
Despite these achievements, Binance faces regulatory challenges. The US Securities and Exchange Commission (SEC) has accused the platform of inflating trading volumes, mismanaging customer funds, and allowing US customers to trade on its platform despite restrictions. SEC Chair Gary Gensler stated, “Through thirteen charges, we allege that Binance CEO Changpeng Zhao and Binance entities engaged in an extensive web of deception.”
In contrast, Coinbase, the largest US-based crypto exchange, has seen a decline in its Bitcoin holdings. This decrease is noteworthy as Coinbase serves as the custodian for most spot Bitcoin ETF issuers in the US. Tolou Capital Management founder Spencer Hakimian suggests that Coinbase’s role with ETF issuers might be contributing to its dwindling Bitcoin reserves.
“Many ETFs in the US are likely hurting Coinbase’s target market, but this is less of an issue for Binance,” Hakimian wrote.
The introduction of spot ETFs in the US bolstered Coinbase’s position, with CEO Brian Armstrong emphasizing the exchange’s significance. Lawyer John E. Deaton, a well-known XRP advocate, concurred, stating that “Coinbase will be a big winner” as it plays a central role in the ETF campaign.
“Coinbase will be a big winner. I expect to see BlackRock and Vanguard buy more. By the way, 90% of Gary Gensler’s $120 million fortune is with Vanguard,” Deaton noted.