Binance transferred some of its USD Coin (USDC) reserves to another stablecoin, but its capitalization remained unchanged. This was announced by the head of the cryptocurrency exchange Coinbase Brian Armstrong, writes Cointelegraph.
USDC is the preferred asset on Coinbase, with the company acting as a co-issuer of the token.
NotChaseColeman noted that Binance CEO Changpeng Zhao and Tron co-founder Justin Sun have begun converting USDC to fiat using USDT. But Tether is unlikely to repay billions of dollars, he said.
He also drew attention to the growth of the stablecoin True UDS (TUSD). The user added that around 90% of the TUSD supply is controlled by Binance. At the same time, in recent weeks, the volume of trading in the asset has grown from almost 0% to 20%.
According to CoinGecko, the stablecoin’s market capitalization reaches almost $3 billion. It is noteworthy that on July 29, the figure jumped sharply by $250 million.
In addition, analysts ChainArgos noted the positive dynamics of the new First Digital USD (FDUSD) stablecoin promoted by Binance. According to them, the number of holders and the volume of transactions with the asset is growing every day.
FDUSD is a USD-backed asset launched by Hong Kong-based First Digital Labs. The coin is available on the Ethereum and BNB Chain networks. Its daily trading volume is $17 million with a capitalization of $260 million.
The rise of FDUSD caught the attention of Tether’s CTO Paolo Ardoino. He noted that USDT and its main competitor – USDC – “came under pressure” because of him.
Earlier, Binance updated the commission-free trading program and removed fees for the BTC/FDUSD pair.
Recall that in August, Zhao criticized the USDT stablecoin, calling it a “black box” with a “certain” level of risk. He revealed that the platform is working on a new algorithmic stablecoin and is also expanding partnerships with other issuers to diversify.
Found a mistake in the text? Select it and press CTRL+ENTER
ForkLog Newsletters: Keep your finger on the pulse of the bitcoin industry!