Topic: Binance removing support for BUSD - page 2. (Read 445 times)

This type of stable coin is centralized, so the obvious benefit is being able to control users' money even without using their exchange. Additionally, exchanges will benefit from the visibility of the stablecoins issued which will likely bring in more users.

When I saw this news, I had to check my account there if I was holding BUSD but no I wasn't. The minting will be stopped as said but whichever exchanges that are still supporting it will remain it. I thought that it was them that have made this stable coin but no.

The same thoughts, it was named after their own exchange just like the other stable coins but then they have to stop supporting it. Quite ironic but that's what business means to them.

I saw this post on our local board just yesterday, and then there was no official news either from Binance's official X handle or that of their stable coin issuer, Paxo; it was just some kind of speculation that most people got email warnings regarding, and about 3 news sites that I saw it on as of yesterday, which was making me wonder if it was true or not, but this has made it more clear to me now.

What was even the need for all exchange stable coins? Must every centralised exchange have their own stable coin that has their exchange initial attached to it? I know BUSD is an altcoin, but are they milking any kind of benefit from it as their customers are using it?
 


That's one thing about Binance: they love to promote themselves in any way that they can. When Busd was even recently launched, they even compared it with USDT by saying BUSD is backed up and audited every single month with other listed features, which they used to compare and make the Busd look better than USDT; they are both centralised and should be regarded that way. Their means of making BUSD more available on their exchange trading pairs are their means of promoting BUSD to the top in every way possible.

But my question is, if the BUSD was being approved and licenced by NYDFS during the time of the approval, was it not noticed that it did not meet the registration requirements for a security token?

This is quite funny, although BUSD is created by Paxos and the reason of BUSD creation isn't from CZ's initiative, but everyone always think BUSD is owned by Binance. If the name of this stable coin isn't BUSD, there must be a sudden dump because many people will panic.

I think everyone should convert all of their BUSD into other popular stable coin right now.

I often wonder as well but the answer is not far-fetched still. As you know human beings, give them an idea or opportunity, they will always be selfish and be at the centre of everything if they have the power to do so. It's true that USDT is not without imperfection, but many of those stablecoins are a waste of time too, really crap.

As for Binance, CZ wanted to control everything crypto, thinking the grace and luck that played for him with Binance as an exchange could make it dominate everything crypto.

But business and people's minds are beyond that. You can't predict them.

Thanks for sharing the news, I knew this since yesterday as I was trying to transfer USDT from the exchange I am working on and I saw that the transfer on the BSC network (BEP20) was suspended, so I expected that there was a problem.

Anyway, since the previous BUSD problem, I think that the majority of users have stopped using BUSD, even for traders on Binance, so I think it is not a big problem.

It is unfortunate that a large exchange like Binance was not able to protect its stablecoin, this shows that there are basically suspicious and illegal things around BUSD from the beginning so it is better that they stop it before it causes huge losses to users.
In any case, I don't think anyone will be sad about another central currency leaving the market.

And would you look at that, they are trying to shill another USD coin to prop up their BNB:


They literally ask "Why is FDUSD Useful"?

It's not useful you bricks, it was literally just listed. As I said in my previous post, there are many other stablecoins that will be used more than some random USD coin.

BTW am I the only one who disdains the idea of having a "USD coin" in the first place?

You literally have all these stablecoins, which are backed by the dollar, which itself is backed by.... a money printer. So inflation will tank all of these coins at once.

Well, this was inevitable. Since the whole SEC thing started, the token's marketcap has only been going down[1] but as mentioned above, it looks like Binance has already found their new favorite stablecoin:


Pretty much all of its trading volume is coming from Binance[2]

[1] https://decrypt.co/121182/paxos-halts-busd-minting-as-sec-reportedly-prepares-lawsuit
[2] https://coinmarketcap.com/currencies/first-digital-usd/#Markets

Wait, there is a promotional paragraph in their ann. It looks like Binance has another stablecoin they support, FDUSD issued by a Hong Kong company^[1]. A good tactic to avoid SEC pursuit in the future.


1. https://academy.binance.com/en/articles/what-is-first-digital-usd-fdusd

The first comment really made my day, one user says: I trusted BUSD more than the US Dollars💛.

Overall, they have been trying really hard to promote BUSD on their platform. At some point they even had higher interest rate on BUSD compared to USDT. While the difference was slight, it still matters that it was there. I remember on Futures they had only USDT pars and added BUSD recently.
By the way, why don't they have USD pars like Coinbase? I don't understand why should I pair my coins with stablecoins during trading when there is a high chance that that stablecoin will go down to zero. I don't trust USDT, I don't trust BUSD!

Do we need all these different kinds of stablecoins anyway? Almost all stablecoin users uses centralized USDT anyway, and those that don't probably use DAI (the decentralized version) instead.

Most people creating other differnet stablecoins are just looking for cash grabs, though Tether is not without its own problems.

And how will they keep backing BUSD to USD 1:1, if they cannot run the BUSD money printer with the dollar?

This does not belong to bitcoin discussion, you can move it to exchange board.

Thank you for telling us this. I use Binance, but I prefer to use USDT as the main pair in spot market and for future trading that is not coin margin, and also I am not a fan of BUSD right from when it was created because I know that it is more centralized than USDT, USDC and Dai which are the three that I prefer. I also prefer USDP and TUSD but both including Dai are not main pairs like USDT and USDC.

Although for more decentralized stable coin, Dai is the one that I know.

I wish Binance to stop their manipulation, we can see it. Binance supposed to have USDC as the second main pair. Exchanges like OKX and Bybit have USDC as their second main pair after USDT. On Bybit, you can even use USDC to open long and short position in the derivative market.

Thank you for the information once again.

https://twitter.com/binance/status/1697159019234791909


"As Paxos has halted minting of new BUSD, #Binance will now gradually remove support for the stablecoin on our platform."

So, Binance, which was trying to use BUSD for everything on their platform and make it much bigger than USDT, they are now removing support for the BUSD on their platform.
They literally used BUSD to pump their BNB and raise more BNBs with it. Kind of fishy overall.