$2 billion worth of BTC moved from Binance
According to Crypto Data Tracker whale alert, $2 billion worth of BTC was transferred from Binance. In a tweet, it was reported that 127,351 BTC worth $2,062,504,721 had been moved from Binance to an unknown wallet.
This garnered a whole lot of speculation on Crypto Twitter, given that the market remains under pressure with Bitcoin down 2% at $16,221.
Addressing this, CEO of Binance chanpeng zhao It took to Twitter to clarify that $2 billion of BTC had been moved as part of a proof-of-reserve audit. According to him, the auditor was required to send a specific amount of BTC to demonstrate how Binance Wallet is controlled.
The concerns follow as, after the FTX fallout, there have been significant withdrawals from exchanges, with a gradual shift toward self-custody. According to Santiment, the Bitcoin reserve on exchanges has fallen to historical lows, dropping below the record 7% mark. Currently, just 6.95% of Bitcoin is sitting on exchanges.
This comes as the outflow of bitcoin from exchanges reached an all-time high last week. CoinGlass data shows 128,751 BTC withdrawn from exchanges over the past seven days.
Binance shows proof of reserve
In the wake of the FTX fallout, several cryptocurrency exchanges have recently published their proof of reserves. In the past week, cryptocurrency exchange Binance announced the release of its Proof of Reserves system, starting with Bitcoin first.
Binance provided a snapshot of account balances and bitcoin reserves, of which it claims 582,485 BTC is sitting in its reserves, while its users have a net balance of 575,742 BTC.
In recent events regarding the FTX collapse, the Bahamian government blasted the new FTX CEO and restructuring officer, John J. Ray III, in an escalating fight over what remains of Sam Bankman-Fried’s collapsed empire.
