Binance Announces Discontinuation of USDC Stablecoin Support on Justin Sun's Tron Network

Publish on 25 March 2024

Binance has announced that it will discontinue facilitating deposits and withdrawals of the USD-pegged stablecoin USDC using the Tron blockchain network. This decision will take effect from April 5, according to a press release issued by the crypto exchange.

Investors have been given a 12-day window to convert, transfer, or cash out their TRC-20 USDC tokens from Binance. However, trading of USDC on the platform will still be supported, and deposits and withdrawals of USDC through other supported networks will remain unaffected.

This move by Binance comes after Circle, a Boston-based crypto firm, also decided to halt the creation of USDC tokens on the Tron blockchain. Circle cited the need to ensure transparency, trustworthiness, and safety of USDC as the reason behind their decision.

Tron, founded by crypto entrepreneur Justin Sun, has not yet responded to requests for comment regarding Binance's decision. However, it's worth noting that Tron has faced scrutiny in the past, including a lawsuit filed by the U.S. Securities and Exchange Commission (SEC) against Sun for allegedly artificially inflating trading volumes and selling Tron tokens as unregistered securities.

Meanwhile, Tether's USDT recently surpassed a market capitalization of $100 billion, maintaining a significant lead over its closest competitor, USD Coin (USDC). However, concerns about the quality of assets backing USDT have lingered in the crypto space, and a recent United Nations report highlighted Tron's popularity among cyber fraud and money laundering activities in Southeast Asia. Tether has refuted these claims, emphasizing its collaboration with law enforcement agencies and the traceability of its token.

Previous Post
Gold-Based Digital Assets Issued in Russia
Next Post
Fireblocks Discloses Bitforge Vulnerabilities Affe...

Related News