Binance Custody: A Game-Changing Alliance with BBVA for Enhanced Security

Key Points

1. Binance has chosen Spanish banking giant BBVA as its new custody provider to hold user funds in the form of U.S. Treasuries.

2. This partnership represents a shift from holding assets exclusively with Binance or its subsidiary to using an external, regulated financial institution for enhanced security and oversight.

3. Holding user funds in U.S. Treasuries provides stability and low-risk backing by the U.S. government, benefiting users.

4. The move aligns with the broader trend of crypto exchanges partnering with reputable institutions to build trust and comply with regulations.

5. Binance and BBVA have declined to comment on the strategic implications of the partnership.