Binance’s crypto custody platform Ceffu on Wednesday said clients’ digital assets in cold wallets are never commingled as the custody platform maintains segregated accounts and wallets.
The move comes as Reuters once again accused the world’s largest crypto exchange of commingling user funds in accounts held at Silvergate.
However, Binance executives completely denied the report claiming the story to be false and weak. Meanwhile, Binance CEO “CZ” completely ignored the report and kept him busy with Bitcoin Pizza Day.
Binance’s institutional custody solution Ceffu took to Twitter to clarify to its institutional clients that the custody platform operates on the segregated account and wallet systems. Thus, clients’ assets deposited in cold wallets are never commingled.
Ceffu goes on to explain how its off-exchange settlement solution Mirror is completely secure and safe. After institutional clients lock their digital assets in Ceffu cold wallet, the wallet credits the amount of the digital assets to their Binance exchange account at a 1:1 ratio. In fact, the “assets remain in their cold wallet on Ceffu at all times.”
Ceffu enables clients to trade crypto assets on Binance exchange from the security of their cold wallet. It is the only institutional custodian integrated with Binance.
Binance’s chief communication officer Patrick Hillman and Binance spokesperson Brad Jaffe confirmed that there is no commingling of funds through Silvergate Bank accounts.
Binance CEO “CZ” many times earlier refuted Reuter’s efforts to spread FUD surrounding the exchange. He revealed that the same journalist continues to target Binance with incomplete facts and data.
