Binance and OKX Lead in Transparency through PoR Reports, While Coinbase Falls Behind: CQ

CryptoQuant's recent report ranks five major cryptocurrency exchanges based on their proof-of-reserves (PoR) transparency, with Binance taking the lead and Coinbase coming last due to the lack of any PoR report. The study evaluated the reserve ratio of the exchanges, with Binance maintaining a coverage level above 100% and releasing monthly PoR reports.

OKX and Bybit also maintain a reserve ratio above 100% and release regular reports. Kraken, despite maintaining a reserve ratio above 100%, was critiqued for infrequent reporting. Proof-of-reserves is a practice used by crypto exchanges to demonstrate sufficient digital assets to cover customer deposits. While it has been lauded for increasing transparency, it has also faced criticism for potential security risks associated with disclosing wallet addresses.