Binance converts customer deposits in dollar stablecoins to BUSD – its own stable ‘coin’
Binance, the largest cryptocurrency exchange, will convert any existing and new deposits in dollar-pegged cryptocurrencies into its own BUSD stablecoin. In particular, the change will affect deposits in USDC, USDP and TUSD.
Binance will also cease all trading of spot pairs involving these cryptocurrencies. USD savings accounts, DeFi staking, and the USDC/USDT liquidity pool will cease to operate and convert from September 23. Once the auto-conversion is complete, users will be able to withdraw USDC, USDP or TUSD at a 1:1 ratio from their BUSD balances.
Stable BUSD ranks third among crypto-assets tied to the American currency – the total value of issued ‘coins’ is estimated at $19.3 billion. The merger will significantly increase its capitalization.
The value of users’ balance is not at risk – all listed cryptocurrencies are currently traded at a price as close as possible to $1 and will be converted 1:1. However, the interests of people who use specific stablecoins in projects created just for them, including decentralized income programs, may suffer.
