Binance Will Cease Support For All BUSD Products in December

Cryptocurrency exchange giant Binance recently announced detailed plans to fully retire its stablecoin, Binance USD (BUSD), and facilitate a transition to First Digital USD (FDUSD) ahead of a full shutdown scheduled for mid-December this year.

Timeline of Binance-usd

According to a notice released on November 29, Binance urged its users to either withdraw or convert their existing BUSD holdings into alternative assets before the cutoff date of December 15. After December 31, Binance will deactivate the withdrawal option for BUSD, automatically converting existing balances into First Digital USD (FDUSD) for specific users.

Binance, one of the world's largest cryptocurrency exchanges, has made a significant move by announcing the cessation of support for the Binance USD (BUSD) stablecoin. This decision, effective from December 15, 2023, follows the regulatory pressures faced by Paxos, the issuer of BUSD.

Global crypto exchange Binance announced on Oct. 3 that it will end support for Binance USD (BUSD) borrowing and staking positions by Oct. 25, 2023. This closure appears to be part of a wider plan to phase out the troubled stablecoin, as regulatory scrutiny intensifies.

CCData, a renowned FCA-authorized benchmark administrator and global leader in digital asset data, has unveiled the September 2023 edition of its “Stablecoins & CBDCs Report”. The CCData Stablecoins Report is designed to highlight significant trends and activities in the stablecoins industry.

The circulating supply of Binance USD (BUSD) has fallen to $2.8 billion, marking its lowest point since early 2021, when the stablecoin was still relatively new to the crypto market, according to CryptoSlate's data. The Binance-backed stablecoin has seen its market share rapidly decline this year after it was labeled securities by the U.S.

The exchange's recent announcement about discontinuing support for Binance US Dollar (BUSD) goods has prepared the way for creating a new stablecoin, First Digital USD (FDUSD), in a significant move

The world's largest exchange, Binance, has announced plans to delist eight Binance USD (BUSD) trading pairs as the company looks to withdraw full support of the stablecoin by 2024. This follows increased regulatory pressure on the stablecoin in 2023, which has led to a drastic decline in its market share so far.

For the first time in months, the entire list of top ten stablecoin assets has experienced supply shrinkage in the last 30 days. The stablecoin market now stands at $124 billion, following notable reductions across several projects.

Binance will stop trading for specific pairs like REN/BUSD on August 18, suggesting liquidity issues. Trading bot support for delisted pairs concludes on August 18, urging users to act to avoid losses.

The top stablecoins have continued to see redemptions over the past 30 days as the dollar-pegged crypto economy currently hovers at $127.32 billion on July 12. The stablecoin BUSD's supply has dropped below the 4 billion mark as the token's number of coins in circulation has fallen 16.7% over the last month.