Bybit Bitcoin and USDT Holdings Surge According to 12th Proof of Reserves Report

Singapore-based cryptocurrency exchange – Bybit – has released its 12th proof of reserve (PoR) report, which highlights significant changes in user asset holdings compared to the previous month.

The current PoR revealed a Bitcoin reserve ratio of 107%, Ether’s at 105%, and Tether’s at 103%.

Bybit’s 12th PoR

The report shows that Bybit’s wallets held 48,298 BTC against a user balance of 44,872 BTC as of July 10th. The exchange’s wallets also contain 438,107 ETH and 2,955,970,160 USDT against a user balance of 416,219 ETH and 2,867,177,050 USDT, respectively.

Notably, user Bitcoin assets increased by 5.62% since the last audit on June 6th, equivalent to an additional 2,386 BTC. User Ether assets also experienced growth, though more modestly, with a 0.46% increase. The most remarkable surge was observed in user USDT asset deposits, which skyrocketed by 17.81%, translating to an increase of 433 million USDT.

Back in June, Hacken, the blockchain security services company that conducted Bybit’s 11th audit, started,

“The Hacken team’s Proof of Reserves audit, conducted on Friday, June 14, 2024, demonstrates that Bybit maintains a reserve ratio of > 100 %. This finding signifies that Bybit possesses sufficient reserves to cover its liabilities, thereby bolstering trust and confidence among its users and stakeholders.”

Bybit Overtakes Coinbase

As reported earlier, Bybit surpassed Coinbase in March of this year to become the second-largest digital asset trading platform, trailing only Binance.

According to a report from the crypto analytics platform Kaiko, Bybit’s market share surged from 8% to 16% from October 2023 to March 2024, whereas Coinbase’s share only rose by 1% during the same period.

Several factors have contributed to the rise of the crypto exchange, including the introduction of spot Bitcoin ETFs in the United States and Binance’s shrinking dominance due to regulatory challenges.

Kaiko highlighted that although these developments led to increased trading volumes across most crypto exchanges, except for Binance, not all platforms benefited equally. Bybit recorded the most significant gains, while Coinbase experienced only a modest increase despite reporting higher profits and revenue.

Bybit also witnessed insolvency rumors in May which were quickly dismissed by CEO Ben Zhou. The exec even went on to share evidence of the platform’s financial holdings as well as crypto assets.