Binance Bitcoin Holdings Rise as Ethereum Balances Decline in September

According to Binance's proof-of-reserves data, customer Bitcoin balances grew by close to $537 million in September 2026, while Ethereum holdings declined by around $499 million. The figures raise the question of whether traders are exchanging ETH for BTC.

The figures contrast the crypto held in Binance's wallets against the deposits made by its users. Such reports became common among exchanges following the collapse of FTX in 2022.

How Binance Customer Balances Changed in September

Bitcoin stood out as the sole major cryptocurrency whose customer balances increased. Holdings climbed 0.91% to roughly 688,573 BTC, per Binance's data.

Ethereum saw a 4.61% decrease, while customer holdings of Tether's USDT stablecoin fell 0.87%. BNB, Binance's native token, dropped 0.77%.

Why Did Customers Prefer Bitcoin Over Ethereum?

The exchange's report does not explain the change. It provides aggregate numbers and does not indicate if the same users sold ETH to acquire Bitcoin.

Nevertheless, price trends provide context. Bitcoin has risen roughly 47% from its July trough, according to Binance Research's analysis.

Sentiment toward Ethereum also deteriorated. Negative posts about ETH on social media surpassed positive ones as October started, data from Santiment shows. This was the lowest sentiment reading for ETH since June 7.

😬 Ethereum and XRP sentiment has suddenly turned very negative to kick off October. $ETH is down to 0.89 bullish comments per bearish comment across X, Telegram, Reddit, and other social platforms. This is its lowest ratio since June 7. $XRP sits at just 0.67, its lowest since… pic.twitter.com/ajxBKBVewE

— Santiment Intelligence (@SantimentData) October 1, 2026

Institutional investors, meanwhile, continued purchasing both assets. Spot Ethereum ETFs in the US, which allow investors to buy ETH via brokerage accounts, attracted approximately $850.8 million across seven consecutive days late last month.

Bitcoin ETFs pulled in about $3.08 billion over nine sessions, according to figures from SoSoValue.

How Much Spare Crypto Does Binance Hold?

Binance maintains reserves exceeding 100% of customer deposits for all eight listed assets, though the surplus varies by asset.

The exchange holds 691,004 BTC compared to the 688,573 BTC owed to users. This 0.35% excess amounts to about 2,431 BTC, worth roughly $208 million at current Bitcoin prices.

Ethereum is nearly fully backed, with a surplus of around 3 ETH. The largest cushion is in stablecoins, notably $1.24 billion in excess USDT.

However, the report represents a single-day snapshot of wallet balances, not a comprehensive audit. It does not account for Binance's own liabilities. The next report, due in November, will indicate whether the trend toward Bitcoin persists.