【Half of the SAFU Fund Has Been Used: About 7,500 BTC, Below Binance’s Self-Set $800 Million Replenishment Threshold】
According to a November 3 report by CoinDesk, based on the SAFU address published by Binance on mempool.space, the current balance is just over 7,500 BTC, worth about $580 million at approximately $77,000 per BTC. When the fund converted about $1 billion in stablecoins to BTC in February this year, the address held 15,000 BTC. On October 31, four on-chain transfers brought the balance down by half.
Key points:
1. Binance previously said it would cover the losses from an incident totaling about $6.3 billion using part of SAFU, company funds, and the contract insurance fund. It also pledged to restore SAFU to about $1 billion, but has not provided a timeline.
2. The rules in Binance’s SAFU FAQ state that if the fund’s value falls below $800 million due to BTC price fluctuations, it will be replenished to $1 billion. This rule applies to a drop in BTC’s price, not to funds being used.
3. Binance has not disclosed how much of the contract insurance fund has been used. CoinDesk has asked Binance for comment.
A reminder from an engineer’s perspective:
• On-chain balances show transfers out, but not where the funds went. Don’t equate “transferred out” with “used for compensation”; wait for an official disclosure.
• Most of the reserves/insurance fund are in BTC, so price fluctuations directly affect their value in dollars.
• While withdrawals are being restored, beware of scams involving “compensation registration” or “fees for faster withdrawals.” Rely only on official announcements at binance.com.
$BTC is hovering around $77,000, while $BNB is about $700. Risk is elevated, so don’t blindly increase leverage.
Do you think exchanges should publicly disclose insurance fund usage details and replenishment timelines? Share your thoughts in the comments.
#币安 #SAFU #比特币 #CryptoSecurity
DYOR, not investment advice
According to a November 3 report by CoinDesk, based on the SAFU address published by Binance on mempool.space, the current balance is just over 7,500 BTC, worth about $580 million at approximately $77,000 per BTC. When the fund converted about $1 billion in stablecoins to BTC in February this year, the address held 15,000 BTC. On October 31, four on-chain transfers brought the balance down by half.
Key points:
1. Binance previously said it would cover the losses from an incident totaling about $6.3 billion using part of SAFU, company funds, and the contract insurance fund. It also pledged to restore SAFU to about $1 billion, but has not provided a timeline.
2. The rules in Binance’s SAFU FAQ state that if the fund’s value falls below $800 million due to BTC price fluctuations, it will be replenished to $1 billion. This rule applies to a drop in BTC’s price, not to funds being used.
3. Binance has not disclosed how much of the contract insurance fund has been used. CoinDesk has asked Binance for comment.
A reminder from an engineer’s perspective:
• On-chain balances show transfers out, but not where the funds went. Don’t equate “transferred out” with “used for compensation”; wait for an official disclosure.
• Most of the reserves/insurance fund are in BTC, so price fluctuations directly affect their value in dollars.
• While withdrawals are being restored, beware of scams involving “compensation registration” or “fees for faster withdrawals.” Rely only on official announcements at binance.com.
$BTC is hovering around $77,000, while $BNB is about $700. Risk is elevated, so don’t blindly increase leverage.
Do you think exchanges should publicly disclose insurance fund usage details and replenishment timelines? Share your thoughts in the comments.
#币安 #SAFU #比特币 #CryptoSecurity
DYOR, not investment advice