Binance suspends support for BUSD rivals USDC, USDP, and TUSD
The popular crypto exchange Binance decided to suspend trade support for a total of 3 stablecoin assets.
Binance is a leading first ranked crypto exchange, thanks to better & high-quality crypto services to crypto investors. Binance Exchange operates its crypto ecosystem, where Binance Smart Chain (BSC) is the native blockchain of Binance & BNB is the native token of Binance exchange. Binance Exchange provides a decentralized trade wallet, Trust Wallet, to allow the traders to deal with Defi world with full security.
On 5 September, Binance announced via a new blog post that the Trading platform will no longer support the trading of crypto assets against USDC, USDP & TrueUSD stablecoins.
As per the announcement, all these mentioned stablecoins will automatically convert into Binance stablecoin, BUSD after 29 September. The exchange will still support the users to withdraw the delisted stablecoins from the account, after 29 September, but the use of those stablecoins will not be possible on exchange.
The exact reason behind this decision of the Binance exchange has not been revealed yet but it seems that the exchange wants to enhance the dominance of its own crypto ecosystem, instead to support other rival products & services.
The announcement noted that Binance aimed to bring better efficiency & significant liquidity to the trade pairs on the platform.
“To enhance liquidity and capital-efficiency for users, Binance is introducing BUSD Auto-Conversion for users’ existing balances in stablecoins.”
This decision of the Binance exchange will surely impact the ambitions of USDC issuer Circle because the current market cap of USDC is $52 billion and it was near to surpassing the market cap of Tether’s USDT Stablecoin, which holds a $62 billion market cap.
Now, possibly it will take more months for Circle’s USDC to surpass Tether (USDT) in terms of market dominance. And beside this competition, Binance stablecoin (BUSD) will get better support to enhance its market dominance, which is currently standing at $19 billion Mcap.
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