Eight days ago, Paxos announced that it would end minting the stablecoin BUSD. Since then, redemptions have become more prominent and the coin’s market capitalization has slid lower. Meanwhile, Nansen data researchers found that Binance, the largest cryptocurrency exchange by trading volume, has increased its usd coin holdings by $1.5 billion in the past seven days.
Nansen Researcher Discovers Binance Stacking Circle’s Stablecoin
According to Nansen data journalist Martin Lee, the amount of USD coins (USDC) held at Binance has been steadily rising this week.” Interesting that the amount of USDC on Binance has increased so much since the BUSD news,” Lee tweetedon Tuesday. Lee further detailed that Binance has seen an increase of $1.5 billion USDC in the past seven days.
He also noted that he would have expected the supply of tethers (USDT) to increase at Binance rather than USDC “given that you can’t trade with USDC. “On September 5, 2022, Binance will discontinue trading usd coins ( USDC) trading pair and automatically converted customer balances to BUSD; two weeks later, Wazirx followed Binance’s lead and delisted usd coin (USDC) and several other stablecoins, automatically converting balances to BUSD.
On February 19, Bitcoin.com News reported that nearly 3 billion BUSD had been removed from the market, but today that number has increased toSince Paxos has revealed that it will no longer mint BUSD 3.55 billionhas increased to. The stablecoin managed by Paxos remains the third largest stablecoin by market capitalization until DAI’s market cap drops below $5 billion. Once a prominent top 10 crypto asset by market capitalization, BUSD is getting awfully close to being knocked out of the top 10 ranking.
Nansen researchers alsonotedthat there are 1.8 billion USDC in Binance’s main wallet today, which is the highest in 90 days. At the time of writing, February 21, 2023, at 2 p.m. CST,there is$1.821 billion USDCheld in Binance’s wallets. It is worth noting that Nansen’s portfolio viewer only sees ERC20-based balances, while Binance has just over 100 million Tether (USDT) in the same wallet. Binance’s wallet also holds 79.24 million trueusd (TUSD) and 5.34 million DAI.
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