Binance announced that it would no longer support the BUSD stablecoin. The exchange will advise users to switch their BUSD holdings to other assets as it gradually removes BUSD from spot and margin trading pairs.
Following an injunction from the New York Department of Financial Services, Paxos stopped minting new BUSDs. As a result, starting on December 15th, Binance will no longer support BUSD.
As per the release, on December 31st, Binance will no longer facilitate BUSD withdrawals. The residual amount will be automatically changed to FDUSD, with the exception of specific locations.
Prior to August, Binance had declared that it would progressively stop supporting BUSD by February 2024. It also advised consumers to move to FDUSD, another stablecoin, at the same time. Users can still change BUSD to FDUSD without paying any fees, according to Binance.
According to a blog post by Binance, Paxos has guaranteed that “BUSD will remain supported by Paxos and redeemable through at least February 2024.” According to CoinMarketCap data, BUSD’s 24-hour trading volume is now at over $900 million.
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