• Binance has launched an off-exchange settlement solution for institutional investors called Binance Mirror.
• Binance Mirror accounts feature a 1:1 balance on the exchange and the cold storage.
• The tokenization of institutional assets will help reduce theft of underlying digital assets.
Binance, the world leading digital asset exchange on daily traded volume and global regulations, has recently announced the launch of its off-exchange settlement solution for institutional investors. Dubbed Binance Mirror, the solution is targeted at providing a secure alternative for institutional investors to trade digital assets.
Digital assets in the Binance Mirror account for more than 60 percent of all assets secured on Binance Custody. As such, the company saw it prudent to provide institutional investors with an alternative to protect and preserve their assets. Binance Mirror accounts feature a 1:1 balance on the exchange and the cold storage. This ensures that all assets are securely stored and protected. The tokenization of institutional assets will help reduce theft of underlying digital assets, which mostly prove cumbersome to recover.
The Binance crypto exchange allows Mirror customers to redeem their positions at any time. The Binance team has stated that security is a top priority for institutions, and that their investors should be able to trade digital assets with peace of mind. To this end, Binance has placed stringent security measures in place to protect customer funds. This includes multi-factor authentication, multi-signature wallets and segregated account structures.
The company has also taken measures to ensure that the Mirror solution is compliant with applicable regulations. This includes KYC/AML processes, as well as measures to prevent money laundering. Additionally, Binance has added an audit trail feature which will help customers track their transactions for the purpose of regulatory compliance.
The launch of Binance Mirror is expected to further strengthen the company’s position as a leader in the cryptocurrency and digital asset space, especially among institutional investors who are increasingly looking to enter the crypto markets. Moreover, the Mirror solution is expected to help attract more institutional investors to the crypto markets, as they can leverage the security and compliance features which Binance has implemented.