Eight #Binance USD (BUSD) trading pairs will be taken off the market by Binance, the biggest exchange in the world, as the firm intends to end all support for the stablecoin by 2024. This comes after the stablecoin came under heightened regulatory pressure in 2023, which so far has resulted in a sharp fall in its market share.
By September 7th, Binance will remove nine margin trading pairs.
Binance announced plans to delist eight BUSD cross margin and isolation trading pairs in a blog post on Wednesday. AMB/BUSD, DASH/BUSD, FIDA/BUSD, HARD/BUSD, HOT/BUSD, NULS/BUSD, PORTO/BUSD, and REQ/BUSD are a few of them. The IOST/BTC margin trading pair will likewise be removed by the exchange.
The delisting procedure, according to Binance, will take place in two steps. Initially, on September 1, 2023, at 06:00, the exchange will stop all isolated margin borrowing for these particular pairs (UTC).
After that, on September 7, 2023, at 6:00 AM ET, Binance will liquidate all user holdings, cancel all pending orders, and enable an automated settlement before delisting these pairs from its isolated margin market (UTC). These trading pairs will likewise be eliminated from Binance's cross margin market on the same day and at the same time.
Users won't be able to change their trading positions throughout the delisting process, according to Binance. In order to prevent potential losses, they are urged to liquidate any open trades and move their assets from margin wallets to spot wallets before September 7.
The exchange did not provide a detailed justification for simultaneously delisting eight BUSD pairings in the release. Yet, recent reports suggest that this action is only a small component of the crypto exchange's overall strategy.
Will Binance Still Fully Support BUSD in 2024?
Many articles on the social networking site X claim that Binance would stop supporting its own BUSD stablecoin by 2024 and advise users to exchange their tokens for other crypto assets. In the exchange's mobile app, a pop-up notification informed users of this development.
The statement did not provide a deadline, but it did indicate that Paxos Trust, the issuer and operator of BUSD, will halt #BUSD redemption by February 2024. After that, Binance will progressively stop supporting the stablecoin.
As was previously said, the intense regulatory scrutiny that the cryptocurrency sector would see in 2023 has had an impact on the BUSD coin.
As a result of "many outstanding problems pertaining to Paxos' management of its relationship with Binance regarding Paxos-issued BUSD," the New York Department of Financial Services ordered Paxos to stop issuing BUSD in February.
Due to this instruction, BUSD's market valuation has decreased by approximately 80%, from $16.13 billion on February 9 to its current value of $3.1 billion, according to statistics from Tradingview.
