The latest announcement had Binance revealing moves to delist existing USDC, TUSD, and USDP balances in trader accounts on September 29. Meanwhile, the leading exchange will convert their wallet balances into BUSD, using an auto-covert functionality.
Moreover, Binance will suspend trading pairs of the mentioned stablecoins against USDT and BUSD, plus leading cryptocurrencies like Bitcoin & Ethereum.
The Delisted Stablecoins Tale
The September 5 announcement saw Binance confirming that the exchange will introduce BUSD auto-conversion feature on user balances and new USDC, TUSD, and USDP stablecoin deposits – 1:1 proportion.
The move targets capital efficiency and enhanced liquidity for Binance users. Users can expect to trade with consolidated BUST balances on Binance from September 29. It will reflect the user balance of the four stablecoins (USDC, BUSD, TUSD, and USDP) post-conversion.
Tether (USDT) claimed the highest stablecoin supply within the crypto world during this publication, reading $67.54 billion. USD Coin follows with its $51.8 billion (Coinmarketcap data).
Meanwhile, the top crypto exchange globally, Binance, had $16.02 billion in volume within the last day (CoinGecko data). BUSD/USDT accounted for the highest stablecoin volume, at above $500 million during that timeframe.
Delisting leading stablecoin shows Binance’s plan to amplify the supply of its stablecoin. Also, it reflects the exchange’s plan to increase BUSD’s market share. Furthermore, Binance’s stablecoin boasted a 14% stablecoin market share during this writing.
Binance Readying for the Merge
Colin Wu, a crypto analyst, also revealed that Binance would halt withdrawals and deposits for WETH and ETH on September 6. Investors will ensure the suspensions until the upcoming Merge ends. That aims to secure forked tokens allocation upon chain split.
Nevertheless, the wallet suspension will not affect ETH trading. The selected addresses include Ethereum on Optimism and Arbitrum and Ronin’s WETH. Also, Binance warned that any WETH or ETH deposit on the mentioned platform during the halt wouldn’t be eligible for forked coin credit in case of chain splits.
What are your thoughts about Binance’s move to delist other stablecoins to favor its BUSD? Feel free to share your views in the section below.