25 February, 2024

Nearly 60k BTC Unpegged From BTCB And Flowed Into Binance

1 year ago

22 Nov, 2023

Binance recently received 59,151 worth of Bitcoin after it was unpegged from BTCB. On the BNB chain, the Bitcoin-pegged Token is denoted by the symbol BTCB. Given that the market capitalization of BTCB dropped within the same moment, it does not seem to be post-settlement. Sell-side liquidity.

Today, Binance had a significant influx of up to 127,351 bitcoins as well as a significant withdrawal of approximately 50,000 bitcoins. On-chain verification demonstrates that these inflows and outflows are coordinated by internal wallets, which seem to be transfers across cold wallets and wallets for proof of reserves.

According to the data by CryptoQuant, the financing rates have been negative while at the same time these inflows have been made. An exchange reserve is an indicator that indicates the total quantity of Bitcoin that is presently housed in the wallets of a centralized exchange. This number may be found in the exchange reserve.

When there is an increase in the value of the reserve, this indicates that investors are now making deposits of their tokens to the exchange. This sort of movement might have unfavorable repercussions on the price of the cryptocurrency since investors could be depositing funds to such a platform with the intention of selling them later.

A decrease in the value of the reserve, on the contrary, may indicate that coins are actively being removed from the exchange. When such a pattern continues for an extended period of time, it may be an indication that investors are accumulating BTC, which may be positive for the currency’s value.

Evidence from Proof of Reserve suggests that skepticism about CEX is diminishing. Furthermore, all exchanges’ reserves have become more valuable over the previous 24 hours.