Binance, the biggest cryptocurrencycurrency exchange, has transferred $1 billion from its Secure Asset Fund for Users (SAFU) into USD Coin (USDC), accounting for 3% of USDC’s total supply.
The move, announced on April 18, intends to improve reliability and stability by converting SAFU’s assets to a trusted, audited, and transparent stablecoin valued at $1 billion.
SAFU was founded in 2018 to protect users in severe events such as hacking by offering payment for losses. A recent transaction saw 800 million USDC exchanged at a low cost of $1.88. The conversion also involved the transfer of 1.36 million BNB ($754 million) and 16,277 BTC.
This action boosts Binance’s risk management strategy by improving user protection and ensuring the durability of its emergency fund.
This is SAFU’s second conversion in a year, after switching from Binance USD to Tether and TrueUSD owing to regulatory restrictions. Tether leads the stablecoin market, with a supply of $108 billion, while USDC accounts for roughly 20%.
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