Major Crypto Platforms Binance and OKX Lead in Proving Cryptocurrency Asset Reserves among Significant Exchanges
Let's delve into the transparency practices of five leading cryptocurrency exchanges - Binance, OKX, Bybit, Kraken, and Coinbase. This analysis focuses on their Proof-of-Reserves (PoR) reports, a critical tool that demonstrates the exchanges' liquidity status and commitment to transparency.
Binance and OKX Lead in Transparency
Binance and OKX take transparency to the next level, consistently publishing PoR reports that indicate their asset holdings exceed their customers' liabilities. Over the period from February 2023 to June 2025, Binance's reserve ratios, which serve as a key indicator of their solvency, remained above the 100% mark, with the highest ratio reaching an impressive 118.52% in May 2023. OKX's reserve ratios followed a similar pattern, mostly staying between 102% and 105%.
Bybit and Kraken Show Improvement but Have Room to Grow
Bybit exhibits a Reserve Ratio consistently above 100%, varying between 105% and 115%. The exchange has stepped up its transparency game by increasing the frequency of PoR reports from every two months to monthly. Bybit's strongest reserve ratios occurred in early 2024 and early 2025. Kraken's Reserve Ratio data, however, is limited and sporadic, with only four reports released since November 2022. Despite notable reserve spikes in April 2023 and December 2023 (114.9% and 112.6%, respectively), most of their monthly data points show a zero value, suggesting irregular reporting.
Coinbase Lags in Transparency
During the analyzed period, Coinbase fell short in terms of transparency, as it did not publish a single PoR report. The reserve ratio data for Coinbase remained at zero for all months, indicating a lack of available or disclosed information. This inconsistency in transparency raises concerns and creates a significant transparency gap compared to their market peers.
Coinbase has demonstrated its commitment to transparency for certain wrapped assets like cbDOGE and cbBTC, as it holds 1:1 reserves of the underlying cryptocurrencies for these products[1][5]. However, when it comes to overall exchange-wide PoR reporting, Coinbase lags behind its competitors, such as Binance and OKX. The absence of regular PoR reports hinders users' ability to evaluate Coinbase's level of liquidity and undermines the trust individuals place in the exchange.
While Coinbase may face regulatory and competitive pressures, consistent transparency in the form of exchange-wide PoR reports would help address concerns and bolster the exchange's reputation within the cryptocurrency market.
In conclusion, through this analysis, Binance and OKX emerge as leaders in transparency, whereas Bybit and Kraken have made progress but have room to improve their consistency. The industry standard for transparency requires continuous, detailed disclosures, and Coinbase's lack of exchange-wide PoR reports creates a notable transparency deficit in comparison with other leading exchanges.
- Binance and OKX have consistently published Proof-of-Reserves (PoR) reports, with Binance's reserve ratios staying above 100% and reaching an impressive 118.52% in May 2023, demonstrating their commitment to transparency and liquidity within the crypto industry.
- Bybit's transparency has improved, with Reserve Ratio data consistently above 100%, associating the exchange with increased frequency of PoR reports and stronger ratios in selected months, but the inconsistency in Kraken's PoR reporting remains a concern, limiting a comprehensive analysis of its liquidity status.
- Coinbase lags behind its competitors in terms of PoR transparency, as it did not publish a single report during the period analyzed, raising concerns about the exchange's liquidity, liability to users, and overall reputation within the cryptocurrency market.
- To address these concerns, Coinbase should reconsider its approach to transparency by providing consistent PoR reports, similar to Binance and OKX, thus promoting trust in the crypto industry and keeping up with the industry standard for transparency and detailed disclosures.
