Binance proposes crypto-wide 'Withdrawal Day' as users question asset reserves

Binance has responded to onchain data discrepancies reported by some third-party trackers like Coinglass and previously DefiLlama, as the world’s largest exchange dismisses the latest attempt to shake confidence in its operation.

The latest post addresses concerns about Binance’s asset reserves sparked by onchain data anomalies flagged by third-party trackers Coinglass and DefiLlama.

The response was necessary as what would have been dismissed as a lag in algorithms could have quickly compounded concerns about the platform’s liquidity, especially as the crypto market goes through a dramatic dip that has led to something of a paranoid inquisition to find answers.

How Binance addressed liquidity concerns

In a post shared via its official X account, Binance thanked users for their concern about Binance. Then it went ahead to clarify that the data cited by Coinglass is curated from third-party sources, and DefiLlama had also dealt with discrepancies in the past.

“It will take another 24 to 48 hours for their data to be restored,” the post read, urging those who need to verify their assets to do so via Binance’s official Proof of Reserves tools. They urged users to use sites like CoinMarketCap to view their total asset balance, or Oklink to check the inflow and outflow of various platforms.

The post continued with Binance expressing its belief about how “regularly conducting withdrawal tests on all trading platforms is a positive and healthy practice.” Of course, it urged whoever is performing such tests to be sure to double-check the address carefully.

The post ended with the proposal of the establishment of an annual “Withdrawal Day” when users of all platforms, not just Binance, can verify the authenticity of their assets. The plan would see the crypto industry collectively designate one day each year in which users and the community coordinate mass withdrawals for verification tests.

This could help uniformly confirm the authenticity and backing of assets on various exchanges, and can boost overall transparency, trust and accountability in the sector.

Binance deals with insolvency rumors

Binance’s official statement regarding the withdrawal tests comes after its co-founder He Yi responded to the “withdrawal movement” initiated by the overseas community.

Cryptopolitan reported last week that Binance CEO Yi He shared a post on X to address ongoing rumors about the platform’s insolvency, claiming the chatter has actually increased the number of exchange addresses.

“Some friends in the community have launched a vigorous withdrawal movement. Although we have not yet figured out why there have been more deposits after the movement started, I believe it is also a good thing to regularly stress test all platforms,” she claimed.

This is not the first time Binance has dealt with FUD, either. In a recent episode of the All-In podcast hosted by Chamath Palihapitiya, CZ recounted how his relationship with SBF broke down when the convicted FTX executive began poaching his employees, attempting to poach high-profile clients from Binance, and also using his significant political influence in D.C. to lobby for regulations that would essentially “carve out” Binance from the American market.

CZ clarified that the November 2022 tweet where he announced Binance would sell its remaining FTT tokens was not a premeditated attack to destroy a competitor. He was stunned by the total lack of liquidity at FTX, stating he had no idea that SBF was allegedly misusing customer funds on the scale that was later revealed in court.

Sam Bankman-Fried remains in federal prison, currently serving the early years of his 25-year sentence. Current reports from the FTX bankruptcy proceedings show that most creditors have now been repaid in full, thanks to the surging prices of the estate’s holdings in 2025 and 2026.

While the truthfulness of the related FUD statements still needs further verification, onchain evidence has shown that there was no real bank run and Binance has not displayed any insolvency signs.