📘 #币安知识词典 Phase 7: Proof of Reserves (PoR)

Based on the PoR system, the reserves of the trading platform are expected to be equal to (or greater than) the total amount of assets deposited by its users. If this standard is met, the trading platform can be said to have "full reserve backing." However, it is important to note that the trading platform cannot use one asset to replace another. For example, when a user deposits 1 BTC, the trading platform must also increase its reserves by at least 1 BTC and not by other cryptocurrencies. Furthermore, the trading platform cannot use its corporate holdings to cover reserve shortfalls.

PoR aims to enhance the transparency and security of the cryptocurrency ecosystem, thereby better protecting user rights. PoR audits use cryptographic verification to ensure that all users' balances are included. To ensure the accuracy of the PoR verification, the trading platform can utilize Merkle trees and zero-knowledge succinct non-interactive arguments of knowledge (zk-SNARK). Additionally, the trading platform can use third-party services to prove that its PoR has not been manipulated.

PoR prevents trading platforms from attempting to use user assets to generate profits. For instance, the trading platform cannot lend out user-deposited assets, nor can it invest these assets.

All Binance users can independently verify whether their Binance account balances are included in the latest PoR verification results. You can perform this operation directly in your personal 币安账户.

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