Binance spends half of its SAFU Bitcoin, worth $580 million
Binance has reportedly spent half of its Secure Asset Fund for Users (SAFU) Bitcoin, which amounts to about $580 million. The SAFU wallet, publicly known, held just over 7,500 BTC as of October 31 after a series of transactions. This figure is a drop from the 15,000 BTC it held in February when Binance converted around $1 billion from stablecoins into Bitcoin.
The value of the remaining Bitcoin is calculated at approximately $77,000 per coin. Binance's SAFU FAQ mentions that the fund is typically rebalanced back to $1 billion if its value dips below $800 million due to fluctuations in Bitcoin's price. However, there are no rules regarding the fund being spent, which raises concerns among users.
On October 31, Binance stated it would partially deploy SAFU funds as part of the $6.34 billion set aside to address a recent hack. While Binance has pledged to restore the fund to its original value, it has not provided a timeline for when this will happen or disclosed how much of the insurance fund was utilized. This situation could impact traders and the perception of security on the platform, as the SAFU fund is intended to protect users during unforeseen events.
$BTC
#Security #CryptoNews
Binance has reportedly spent half of its Secure Asset Fund for Users (SAFU) Bitcoin, which amounts to about $580 million. The SAFU wallet, publicly known, held just over 7,500 BTC as of October 31 after a series of transactions. This figure is a drop from the 15,000 BTC it held in February when Binance converted around $1 billion from stablecoins into Bitcoin.
The value of the remaining Bitcoin is calculated at approximately $77,000 per coin. Binance's SAFU FAQ mentions that the fund is typically rebalanced back to $1 billion if its value dips below $800 million due to fluctuations in Bitcoin's price. However, there are no rules regarding the fund being spent, which raises concerns among users.
On October 31, Binance stated it would partially deploy SAFU funds as part of the $6.34 billion set aside to address a recent hack. While Binance has pledged to restore the fund to its original value, it has not provided a timeline for when this will happen or disclosed how much of the insurance fund was utilized. This situation could impact traders and the perception of security on the platform, as the SAFU fund is intended to protect users during unforeseen events.
$BTC
#Security #CryptoNews
