Binance does not suspend trading with Tether after USDC halt

Last Updated: 6 September 2022

Binance will not stop trading Tether USDT. The world’s largest exchange announced this after questions from Cointelegraph.

Binance leaves Tether trading intact

The questions arose because Binance suddenly suspended trading in stablecoin USDC and two other stablecoins USDP Stablecoin (USDP) and TrueUSD (TUSD).

All users who still hold the three stablecoins on 29 September will have their stablecoin balances automatically exchanged to BUSD, the stablecoin of Binance. This will happen at a ratio of 1: 1 for a period of 24 hours.

In a statement, Binance said it was taking the measure to improve liquidity and user experience. But there is no question of suspending Tether USDT, the largest stablecoin on the market.

A Binance spokesperson told Cointelegraph that this could change in the future. However, the measure to exchange USDC into BUSD is ‘not temporary’ and ‘will continue’.

Binance will therefore also remove the long list of trading pairs with these three stablecoins, with the pairs mainly switching to BUSD. Other products such as savings or loans linked to USDC will also be discontinued.

Analyst Alex Svanevik sees that the amount of USDC on the trading platform has shrunk considerably.

By comparison, Binance has a whopping $4.99 billion in USDT, more than any other exchange in the world. Also because many derivatives pairs are linked to USDT.

Author

  • Ivan came across the topic of cryptocurrencies in early 2016 and, as an author and enthusiast, has been intensively involved with the topics of cryptocurrencies, blockchain and STOs ever since.

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