What Is BUSD Auto-Conversion and How to Deposit and Withdraw USD Stablecoins on Binance

2022-09-05 15:36

Note from 2023-03-10 23:30 (UTC), 2023-03-11 02:35 (UTC), and 2023-03-11 06:00 (UTC), respectively, Binance has stopped/will stop BUSD Auto-Conversion for users' new deposits of USDC, USDP, and TUSD respectively, and users will no longer be able to withdraw USDC, USDP or TUSD from their BUSD balances. Any users who wish to convert their BUSD balances to USDC or USDP at a 1:1 ratio may do so manually on Binance Convert till 2023-03-18 06:00 (UTC). Any users who wish to convert their BUSD balances to TUSD at a 1:1 ratio may do so manually on Binance Convert till further notice. Do note that manual conversion can only be done from BUSD to TUSD, USDC, or USDP in the convert portal, not the other way around.

Please refer to the announcement for details.

Binance introduced the stablecoin Auto-Conversion solution

To provide greater trading liquidity and a better user experience, since 29 September 2022, Binance has stopped supporting the trading of some stablecoins and introduced the Auto-Conversion feature.

With this new option, you can easily deposit and withdraw stablecoins, such as USDC, USDP, and TUSD, and enjoy better BUSD liquidity on Binance. To learn more, please refer to this announcement.

How to deposit and withdraw USD stablecoins?

Depositing USD stablecoins with USDC, USDP, and TUSD

Step 1: Log in to your Binance account and go to [Wallet] - [Fiat and Spot].

Step 2: Click [Deposit].

Step 3: Select the coin you’d like to deposit from the dropdown menu.

When you deposit these stablecoins for the first time, you need to click "Confirm" on the pop-up window. Once you deposit the coins, your asset will be automatically converted to BUSD.

If you don’t want to convert your assets to BUSD, you can toggle the button to turn off the feature. Your assets will be deposited to your account balance. However, please note that Binance does not support the trading of those stablecoins.

Step 4: Select the network. Please select the correct network, or your assets might be lost and cannot be recovered.

Step 5: Deposit the stablecoins from your external wallet. Once your deposit is successfully completed, you will see the corresponding balance 1:1 in BUSD in your wallet.

Please note that once your asset is successfully converted into BUSD at a 1:1 ratio, your corresponding asset’s balance will become zero. You can click [View More] to check the conversion details.

Withdrawing USD stablecoins with USDC, USDP, and TUSD

Step 1: Log in to your Binance account and go to [Wallet] - [Fiat and Spot].

Step 2: Click [Withdraw].

Step 3: Select the coin you’d like to withdraw from the dropdown menu. Once you choose USDC, USDP, or TUSD, you will see a notification: “When withdrawing USDC, the system will deduct BUSD from your account on a 1:1 basis”. Click [Confirm] to proceed.

Step 4: Select the network and enter your destination address. Please select the correct network and check that you have entered the correct address, or your assets might be lost and cannot be recovered.

Step 5: While withdrawing the assets, the system will deduct your BUSD balance from your account. Once completed, you can check your withdrawal history for more information.

Frequently Asked Questions

1. What assets does Binance support for deposit/withdrawal and auto-conversion to BUSD?

Currently, Binance supports depositing USDC, TUSD, and USDP for auto-conversion at a 1:1 ratio to BUSD and this can be converted back to USDC, TUSD, or USDP at a 1:1 ratio for withdrawal.

2. Where can I find my assets after I deposit USDC/TUSD/USDP?

It depends on which wallet you deposited to.

If you choose to deposit to your [Spot and Fiat Wallet], you can check your balance in BUSD after your assets have been successfully transferred to Binance.
If you choose to deposit to your [Funding Wallet], please check your BUSD balance by clicking the [Funding] tab.

3. I deposited a supported stablecoin (e.g., USDC), but it doesn’t auto-convert to BUSD. What can I do?

We appreciate your patience; in normal market conditions, you should see the supported stablecoin get auto-converted to BUSD shortly.

4. What is BUSD?

BUSD is a 1:1 USD-backed stablecoin approved by the New York State Department of Financial Services (NYDFS), and issued in partnership with Paxos. You can refer to our website for more information.

5. How long does it take to process my deposits and withdrawals?

There are no changes to deposits and withdrawals and will be processed as normal, depending on network conditions and confirmation count.

6. How will the transaction history be recorded?

You will see the USDC, USDP and TUSD credited and auto-converted to BUSD.

7. What will happen if I don't close my Cross margin or Isolated margin positions prior to the deadline?

Open Margin positions for USDC/BUSD, TUSD/USDT, and USDC/USDT will be closed and liquidated at 2022-09-23 03:00 (UTC).

Open Margin positions for BTC/USDC, EOS/USDC, ETH/USDC, LTC/USDC, XRP/USDC, ADA/USDC, and ATOM/USDC will be closed and liquidated at 2022-09-27 03:00 (UTC).

8. What will happen if I don't close my USDC Loan orders prior to the deadline?

Please note that Binance will close and liquidate your USDC loan orders, including orders with USDC as a borrowable asset or USDC as a collateral asset, at 2022-09-23 03:00 (UTC).

9. What will happen to my USDC loan collateral?

All loan orders with USDC as a borrowable asset or collateral asset will be closed on 2022-09-23. The remaining USDC balance will be returned to your Spot Wallet

10. What happens if one of the supported stablecoins breaks its peg to the dollar?

Depending on the current market conditions, Binance may stop or resume auto-conversion for any of the supported stablecoins.

11. I have USDC in Binance Flexible Savings. Will I receive BUSD as interest?

Your USDC Savings subscriptions will stop. In order to receive BUSD as interest, please subscribe to BUSD Simple Earn Flexible Savings products manually.

12. Can I withdraw or convert BUSD/USDC/USDP/TUSD to fiat currency?

There is no change in BUSD-to-fiat withdrawal channels. Your USDC/USDP/TUSD can be withdrawn in BUSD once the balance is auto-converted to BUSD.

13. What can I do if I want to keep my original stablecoin assets?

You can turn off the Auto-Conversion function, and your assets will be deposited to your account balance. However, please note that Binance does not support the trading of those stablecoins.