Judge Approves Binance US Plan for Treasury Investments
The post Judge Approves Binance US Plan for Treasury Investments appeared on BitcoinEthereumNews.com.
Binance’s US arm has received a court nod to place customer funds in US Treasury bills to increase the safety and stability of assets. Binance has to satisfy certain conditions, including engaging third-party professionals and transferring funds to unconnected wallets. The following measures are meant to uphold the law and safety in the processing of investments. Judge Approves Binance Plan for Treasury Investments Binance will manage the corporate assets through a third party that is not affiliated with Binance. The advisors should have understood the consent order and should not invest in related companies at all. Binance must also submit its investment expenses in monthly reports and invest the customers’ fiat funds, which are held by BitGo, into Treasury bills. The investments will be made every four weeks in U.S. dollars sufficient to meet the customers’ withdrawal demands. The exchange will adjust the terms of service and communicate this to its clients regarding the new investment plan. All these measures help enhance the accountability and availability of customers’ funds. The court’s approval also encompasses redirecting assets to wallets controlled by third parties who are not related to the applicant. The wallets and their keys will not be accessible to any Binance entities. Transfers and withdrawals require authorization from BAM and the custodians, which makes them more secure. Judge Endorses Binance’s New Investment Strategy BAM should maintain sufficient cash to meet the customers’ withdrawal requests; however, this does not limit investment. This strategy ensures that the investment part of the firm grows while at the same time ensuring that the funds of the customers are easily accessible. Through this, BAM ensures that customers are aware of the new terms of service, and hence, trust is enhanced. According to Binance’s proof-of-reserve report, large addresses have held the most significant Bitcoin in the…
Filed under: News - @ July 20, 2024 7:28 am