Binance Temporarily Halts USDC Withdrawls
World's largest cryptocurrency exchange Binance has "temporarily suspended" withdrawals of USDC stablecoins while it conducts a "token exchange" the company said on Twitter on Tuesday.
Binance CEO Changpeng Zhao said he expects withdrawals to resume when banks in New York open, allowing the exchange to convert BUSD for fiat currency and then for USDC.
In September, Binance conducted an “automatic BUSD conversion“, in which users’ stablecoins, USDC, USDP and TUSD, were exchanged into BUSD, a stablecoin backed by fiat money founded by Binance and Paxos (the New York-based issuer of the stablecoin).
Zhao said users can still withdraw other stablecoins, including BUSD and USDT, and deposits are unaffected.
On Tuesday, cryptanalysis firm Nansen claimed in a tweet that over $2 billion worth of cryptocurrencies left Binance in a single day, the highest 24-hour outflow since June.
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Binance’s halt on USDC withdrawals comes amid growing investor concerns about centralized crypto exchanges following the FTX crash.
Meanwhile, Binance is facing possible money laundering charges from the US government, which the exchange denies.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
