We are grateful to Forbes for their attention to Binance and the crypto industry in general. In 2022, several negative cases in the crypto industry made the mainstream media more concerned about the crypto industry and trading platforms as a whole. Forbes also paid much attention to FTX in the past, including several mentions of FTX in this article; But when we look at Forbes' unwarranted allegations of "collateral misappropriation" of Binance, it shows that the industry has a long way to go.

First, let's talk about the basic behavior of users on the trading platform.

Recharge: account wallet for users to recharge assets to the trading platform;

Transactions: Users make transactions on the platform and then change to the currency they want to withdraw money in;

Withdrawal: The withdrawal of coins to the user's wallet.

That is to say, Binance, as a trading platform, provides liquidity to the market, institutions and users. However, at the same time, users need to first put their assets on the platform, and users are used to using the trading platform as their wallet.

As the world's largest cryptocurrency trading platform by transaction volume, Binance has a large number of crypto assets recharged into users' account addresses every day, and a large number of users withdraw cash to different wallet addresses. For security reasons, large amounts of money are transferred between hot and cold wallets every day; The transfers to the addresses of Amber Group, Alameda Research and Justin Sun mentioned in the Forbes article were all spontaneous actions by institutional users or individuals.

In the crypto industry, the ability of users to request assets from the platform has never been an issue, but the inability to withdraw coins has been an issue. Forbes reporters involved in the report can also interview the institutions and users if they are interested in the transfers. At the same time, the address on the chain can be queried publicly. Journalists and Kols who pay attention to this event can also query the recharge history records of these users on the chain.

Second, we have explained in detail about Binance-peg BUSD: Binance periodically rebalances or updates the assets at the anchored address, but before this rebalancing and updating cannot guarantee complete real-time. Therefore, we have previously increased the frequency of rebalancing and updating to ensure that the anchoring ratio is 1:1 at all times. For details, see how Binance-Peg BUSD works.

Third, Binance has never misappropriated user funds. Whether it is the assets of the centralized exchange or the collateral of B-token, Binance has always maintained a 1:1 fund reserve.

Users' assets stored on Binance's centralized platform have always maintained a 1:1 asset reserve, and all users can view through the Certificate of Reserves (PoR) system, and click on How to verify your account balance to view on-chain assets.

B-Token collateral, including BUSD, USDC, etc., has always been 1:1 reserve. In order to protect user assets and be more open and transparent, we have recently managed the address of B-Token collateral completely separately from the address of the central Exchange Certificate of Reserve (PoR) system. You can click on the B-Tokens Pledge page to verify related tokens.

Finally, we are happy to see more and more mainstream media attention and frequent coverage of the crypto industry, and we welcome public scrutiny and feedback. But the crypto industry is new territory for most mainstream media practitioners, and there is a threshold of understanding. We hereby appeal to the mainstream media to take time to understand our industry, platform, users and operation mechanism before reporting on the crypto industry, so as to provide credible and reliable reports for readers who pay attention to the crypto industry, and truly fulfill the role of "uncrowned king" of the media and become the conscience of the public.

We can understand that some mainstream media still observe the crypto industry with colored glasses. As the leader of the industry, Binance will naturally face more storms. However, Binance will continue to promote the transparency and popularity of the industry, and build the future of the industry together with the community and the public. At the same time, we also welcome journalists from Forbes and other media to attend Binance College courses, so as to have a more objective understanding of the industry knowledge and industry practitioners.

Thank you for your support to Binance!

Binance team