Crypto Exchange Binance Reintroduces Trading Pairs with USDC Stablecoin
Crypto exchange Binance has announced that it is bringing back several trading pairs with Circle’s USDC stablecoin. The exchange will open trading for ADA/USDC, ARB/USDC, AVAX/USDC, DOT/USDC, INJ/USDC, MATIC/USDC, OP/USDC, ORDI/USDC, SOL/USDC, and XRP/USDC spot trading pairs. The reason behind this move has not been disclosed by Binance.
Previous Removal of Stablecoins and Circle CEO’s Perspective
Last year, Binance removed a group of stablecoins including USDP and TUSD to concentrate stablecoin liquidity. This decision surprised some market participants but was praised by Circle CEO Jeremy Allaire who believed it would lead to more USDC flowing into Binance. In September, Binance announced plans to remove all stablecoins from the European market by June 2024 to comply with regulatory standards set by the MiCA framework.
Uncertainty Surrounding the Return of USDC
It remains unclear if Binance’s decision to reintroduce USDC is related to MiCA. Circle recently announced conditional registration with France’s Financial Markets Authority (AMF) and hopes to obtain a full Digital Asset Service Provider (DASP) license from France’s financial watchdog. This move could potentially align with European regulations.
Hot Take: Binance’s Strategic Move with USDC
Binance’s reintroduction of trading pairs with USDC indicates a strategic shift in its approach to stablecoin liquidity. By allowing USDC back on its platform, Binance aims to attract more users and increase the circulation of this popular stablecoin. This move could have a significant impact on the market, especially in Europe, where Binance plans to remove all stablecoins in the coming years. It will be interesting to see how this decision unfolds and whether it aligns with the regulatory landscape.
By
By
By
By
By