At a glance

  • Binance says the zero-knowledge proof for its 31 Oct reserves snapshot is complete, so users holding any of ten tokens, including BTC, ETH and USDT, can check that their balances were backed at least 1:1.
  • A second snapshot covering more tokens is planned for 4 Nov, and the next phase of withdrawals on more networks is due on Tuesday, 3 Nov.

Binance has finished the zero-knowledge proof for the reserves snapshot it took at 00:00 UTC on 31 Oct, the exchange said in its fifth recovery update, posted on X at 12:49 UTC on Monday.

The proof covers BTC, ETH, USDT, BNB, SOL, USDC, XRP, USD1, RLUSD and ZEC, Binance said. It came out on Monday, while the exchange’s third update had put completion at Tuesday, 3 Nov. Binance says it “has been completed within our estimated timeframe”.

Users check their own accounts with a verifier tool on the proof-of-reserves page, which requires logging in and downloading the tool, the update said. Binance said the verifier is open source, published on GitHub and independently audited.

The system pairs a Merkle tree, which lets each user confirm their account was included, with a zk-SNARK proof that reserves were at least 1:1 against user balances without revealing any of them, according to Binance. CryptoWatchDesk has not run the verifier itself. The proof describes a single moment, 00:00 UTC on 31 Oct.

What comes next

Binance plans a new snapshot with “coverage for more tokens” on 4 Nov and expects the proof for it to take 40 to 50 hours to generate, it said.

The exchange repeated that it has covered about 95% of the amount taken, up from the 90% it said on Saturday. The remaining 5% is in less liquid tokens outside the ten listed, which take longer to buy at scale, it said. “Binance will absorb the financial impact of the stolen funds, not our users,” the update said.

Binance restarted withdrawals in phases on 15 networks on Sunday, three days after the $6.3 billion theft froze them. Fiat withdrawals in US dollars and four other currencies reopened at 08:00 UTC on Monday, it said.

The next phase, for more networks and assets, is planned for Tuesday as “a progressive rollout”, with details to follow, according to the update.

Get the week’s raises and deals in The Ledger Weekly.

This article is for information only and is not investment advice.