Binance Mirror Launches, Crypto Investors Can Lock Their Assets in the Company's Cold Storage

Binance Mirror allows institutional investors to securely store assets. (Photo; Doc. Coindoo)

JAKARTA – The world's largest crypto exchange company by daily trading volume, Binance, has reportedly launched Binance Mirror. It is an over-the-counter settlement solution for institutional clients.

With the Binance Mirror service, clients can lock their crypto assets in Binance's physical storage or cold storage. However, with a number of certain conditions. Any crypto assets deposited will reflect on their Binance exchange account an equivalent amount of 1:1.

The launch was announced by Binance on Monday, January 16. According to a recent report, basically, institutional investors can lock in collateral by connecting their eligible cold wallets with Binance Custody. The assets can then be reflected on their Binance exchange account.

Binance notes that assets in cold storage will remain safe as long as mirror positions remain open on the Binance exchange, which can be settled at any time. The Changpeng Zhao-owned crypto exchange also detailed that assets held on Binance Mirror “account for more than 60 percent of all assets secured on Binance Custody.”

Binance Mirror Service Advantages

Many people wonder what are the advantages of the Mirror service. Users, in this case institutional investors, will get access to various products on the Binance crypto trading platform. One of them is the “Institutional PIV Loan” service.

With Mirror, investors can store their assets more safely on the exchange because they are stored in the company's cold storage. According to Binance Custody Vice President Athena Yu, institutions seek the best security and “deep liquidity that Binance Exchange has to offer.”

"We spent much of the past year fine-tuning its operations to help our clients unlock the liquidity of their assets held in our cold storage," said Binance Custody Vice President in a statement on Monday, reported by Bitcoin.com News.

"We are very pleased with where we are today and can't wait to introduce our upcoming new features that will enhance the functionality of Binance Mirror even further," added Yu.

The launch of Binance Mirror follows the exchange getting authorization in seven European Union countries. In early 2023, the company also recently joined the association of certified sanction specialists. Binance's custody subsidiary, Binance Custody, launched in December 2021 and offers separate accounts and a wallet system.