Binance Increases USDC Holdings as BUSD’s Market Cap Slides Lower

Eight days ago, Paxos announced that the institution would nary longer mint the stablecoin BUSD. Since then, the coin’s marketplace capitalization has been sliding little arsenic redemptions person go much prominent. Meanwhile, a information researcher from Nansen has discovered that Binance, the largest cryptocurrency speech by commercialized volume, has accrued its usd coin holdings by $1.5 cardinal implicit the past 7 days.

Nansen Researcher Discovers Binance Stacking Circle’s Stablecoin

According to Nansen’s information writer Martin Lee, the magnitude of usd coin (USDC) held connected Binance has been steadily climbing this week. “Interesting to spot the magnitude of USDC connected Binance summation truthful overmuch since the BUSD news,” Lee tweeted connected Tuesday. Lee further elaborate that Binance saw a $1.5 cardinal summation successful USDC successful the past 7 days.

He besides noted that helium would person expected the proviso of tether (USDT) to summation connected Binance much than USDC, “given that you can’t commercialized utilizing USDC” connected Binance. On Sept. 5, 2022, Binance dropped usd coin (USDC) trading pairs and auto-converted lawsuit balances to BUSD. Two weeks later, Wazirx followed Binance’s move, delisting usd coin (USDC) and a mates of different stablecoins to auto-convert balances to BUSD.

On Feb. 19, Bitcoin.com News reported that adjacent to 3 cardinal BUSD had been removed from the market, and today, that fig is up to 3.55 billion since Paxos revealed it would nary longer mint BUSD. The Paxos-managed stablecoin is inactive the third-largest stablecoin by marketplace capitalization until it drops beneath DAI’s marketplace valuation of $5 billion. BUSD, which was erstwhile a salient top-ten crypto plus by marketplace capitalization, is getting awfully adjacent to being knocked retired of the apical 10 standings.

The Nansen researcher besides noted that there’s $1.8 cardinal USDC successful Binance’s main wallet today, and it’s the highest it has been successful 90 days. At the clip of writing, 2:00 p.m. (ET) connected Feb. 21, 2023, there’s $1.821 cardinal USDC held successful Binance’s wallet. It’s worthy noting that Nansen’s portfolio spectator lone looks astatine ERC20-based balances, and Binance has conscionable implicit 100 cardinal Tether (USDT) successful the aforesaid wallet. The Binance wallet besides holds 79.24 cardinal trueusd (TUSD) and 5.34 cardinal DAI.

What bash you deliberation astir Binance stacking usd coin pursuing regulators cracking down connected BUSD? Share your thoughts successful the comments conception below.

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