Binance’s Books Are a Black Box, Filings Show, As It Tries To Rally Confidence

The world’s biggest crypto exchange, Binance, is battling to shore up confidence after a surge in customer withdrawals and a steep drop in the value of its digital token. Reuters reports: The exchange said it dealt with net outflows of around $6 billion over 72 hours last week “without breaking stride” because its finances are solid and “we take our responsibility as a custodian seriously.” After the collapse of rival exchange FTX last month, Binance’s founder Changpeng Zhao promised his company would “lead by example” in embracing transparency. Yet a Reuters analysis of Binance’s corporate filings shows that the core of the business — the giant Binance.com exchange that has processed trades worth over $22 trillion this year — remains mostly hidden from public view.

Binance declines to say where Binance.com is based. It doesn’t disclose basic financial information such as revenue, profit and cash reserves. The company has its own crypto coin, but doesn’t reveal what role it plays on its balance sheet. It lends customers money against their crypto assets and lets them trade on margin, with borrowed funds. But it doesn’t detail how big those bets are, how exposed Binance is to that risk, or the full extent of its reserves to finance withdrawals. Binance is not required to publish detailed financial statements because it is not a public company, unlike U.S. rival Coinbase, which is listed on the Nasdaq. Nor has Binance raised outside capital since 2018, industry data show, which means it hasn’t had to share financial information with external investors since then.

In an effort to look inside Binance’s books, Reuters reviewed filings by Binance units in 14 jurisdictions where the exchange on its website says it has “regulatory licenses, registrations, authorisations and approvals.” These locations include several European Union states, Dubai and Canada. Zhao has described the authorisations as milestones in Binance’s “journey to being fully licensed and regulated around the world.” The filings show that these units appear to have submitted scant information about Binance’s business to authorities. The public filings do not show, for example, how much money flows between the units and the main Binance.com exchange. The Reuters analysis also found that several of the units appear to have little activity. Former regulators and ex-Binance executives say these local businesses serve as window dressing for the main unregulated exchange. Binance Chief Strategy Officer Patrick Hillmann said the Reuters analysis of the units’ filings in the 14 jurisdictions was “categorically false.”

Binance’s Hillmann did not comment on the Reuters estimates. “The vast majority of our revenue is made on transaction fees,” he said, adding that the exchange has been able to “accumulate large corporate reserves” by keeping expenses down. Binance’s “capital structure is debt free” and the company keeps its money made from fees separate from the assets it buys and holds for users, Hillmann said.
Further reading: Binance US To Buy Bankrupt Voyager Digital’s Assets for $1 Billion

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Op-Ed Argues ‘Put Down the Burger’ to Protect Earth’s Biodiversity

“Earth is in the midst of the worst mass extinction since an asteroid wiped out the dinosaurs 66 million years ago — and this time, the asteroid is us.” So says Michael Grunwald, an environmentalist, in an opinion piece for the New York Times.

But his larger point is that “biodiversity loss is not that complicated a mystery.” The amount of area on planet earth devoted ot agriculture is now more than twice the size of North America.

We’re destroying and degrading the habitats of other species to grow food for our own. This means the fate of the world’s bugs, bunnies and other creatures and critters — and what’s left of the forests, wetlands and other habitats they call home — depends more than anything else on what we put in our mouths and how it gets made….

Humanity needs to start shrinking our agricultural footprint and expanding our natural footprint, after thousands of years of doing the reverse. This will be an extraordinary challenge, because we’ll also need to produce more than 7.4 quadrillion additional calories every year to feed our growing population, in an era when climate-fueled droughts, heat waves, floods and blights could make it harder to grow food…. If we are serious about cleaning up the mess we’re making for less influential species, there are four things individuals as well as nations and corporations can do. The first is to eat less meat, which would be a lot easier if meat weren’t so beloved and delicious….

But the inconvenient truth is that when we eat cows, chickens and other livestock, we might as well be eating macaws, jaguars and other endangered species. That’s because livestock chew up far more land per calorie than crops. Producing beef is 100 times as land-intensive as cultivating potatoes and 55 times as land-intensive as peas or nuts. Livestock now use nearly 80 percent of agricultural land while producing less than 20 percent of calories. Cattle are the leading driver of deforestation in the Amazon, followed by soybeans, another commodity, which get fed to pigs and chickens…. If Americans continue to average three burgers a week while the developing world starts to follow our path, it’s hard to see how the Amazon survives.

But it’s at least possible that we could shrink agricultural footprints by shifting our diets toward meat made without livestock, like the plant-based substitutes offered by companies such as Impossible Foods and Beyond Meat or maybe someday cultured meat grown from animal cells.
Grunwald also recommends wasting less food. “About a third of the food grown on Earth is lost or tossed before it reaches our mouths, which means a third of the land (as well as the water, fertilizer and other resources) used to grow that food is also wasted.”

The third way to ease the global land squeeze “would be to stop using productive farmland for biofuels like ethanol and biodiesel — and to stop burning trees for power.” And finally, “farmers will have to supersize their yields enough to make a lot more food with a lot less land.

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New Nonprofit ‘Flickr Foundation’ Hopes to Preserve Its Billions of Photos For 100 Years

“Content of every type disappears from the internet all the time…” writes Popular Photography’s long-time “gear editor” (for photography equipment).

But someone’s doing something about it: the newly-founded Flickr Foundation, which has announced plans “to make sure Flickr will be preserved for future generations.” Or, as Popular Photography puts it, to stop photos “from suffering the same ill fate as our MySpace photos” — providing the example of important historical photos.

One particular collection their article notes is The Flickr Commons, “started back in 2008 as a collaborative effort with the Library of Congress to make publicly held photography collections readily available online for people seeking them out.”

It’s a massive, eclectic, fascinating archive that pulls images and content from around the world. This new organization hopes to integrate more partners and ensure that everything remains available and easily accessible…. If you’re not already familiar with The Commons, it’s a really fascinating online resource. It grants access to everything from historical portraits to scientific images and everything in between. It’s easy to get lost in the sheer volume of images available on the site, but Flickr relies on curators in order to bring notable images to the forefront and keep things organized and available.

With the establishment of the new foundation, Flickr hopes that it can keep this archive running to 2122 and beyond. It will doubtlessly add countless more images along the way.

Flickr is currently hiring a new archivist, according to their announcement (which also points out that the Flickr API was one of the first public APIs ever).

Among other things, it says that the foundation hopes to “investigate preservation strategies that could last for the next century,”

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As GitHub Retires ‘Atom’, Open Source ‘Pulsar’ Continues Its Legacy

In June GitHub announced they’d retire their customizable text editor Atom on December 15th — so they could focus their development efforts on the IDEs Microsoft Visual Studio Code and GitHub Codespaces. “As new cloud-based tools have emerged and evolved over the years, Atom community involvement has declined significantly,” according to a post on GitHub’s blog.

So while “GitHub and our community have benefited tremendously from those who have filed issues, created extensions, fixed bugs, and built new features on Atom,” this now means that:

– Atom package management will stop working
– No more security updates
– Teletype will no longer work
– Deprecated redirects that supported downloading Electron symbols and headers will no longer work
– Pre-built Atom binaries can continue to downloaded from the atom repository releases

Fortunately, in 2014 GitHub open sourced the code for Atom. And according to It’s FOSS News:

A community build for it is already available; however, there seems to be a new version (Pulsar) that aims to bring feature parity with the original Atom and introduce modern features and updated architecture….

The reason why they made a separate fork is because of different goals for the projects. Pulsar wants to modernize everything to present a successor to Atom. Of course, the user interface is much of the same. Considering Pulsar hasn’t had a stable release yet, the branding could sometimes seem all over the place. However, the essentials seem to be there with the documentation, packages, and features like the ability to install packages from Git repositories….

As of now, it is too soon to say if Pulsar will become something better than what the Atom community version offers. However, it is something that we can keep an eye on…. You can head to its official download page to get the package required for your system and test it out.

Like Atom, Pulsar is cross-platform support (supporting Linux, macOS, and Windows).

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