{"id":538717,"date":"2023-01-11T00:49:19","date_gmt":"2023-01-10T21:49:19","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/binance-pushes-back-against-report-stablecoin-isnt-fully-backed\/"},"modified":"2023-01-11T00:49:19","modified_gmt":"2023-01-10T21:49:19","slug":"binance-pushes-back-against-report-stablecoin-isnt-fully-backed","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/binance-pushes-back-against-report-stablecoin-isnt-fully-backed\/","title":{"rendered":"# Binance pushes back against report stablecoin isn\u2019t fully backed"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a2fce43a1df5\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a2fce43a1df5\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/binance-pushes-back-against-report-stablecoin-isnt-fully-backed\/#%E2%80%9D_Binance_pushes_back_against_report_stablecoin_isnt_fully_backed_%E2%80%9C\" >&#8221; Binance pushes back against report stablecoin isn\u2019t fully backed &#8220;<\/a><\/li><\/ul><\/nav><\/div>\n<h1><span class=\"ez-toc-section\" id=\"%E2%80%9D_Binance_pushes_back_against_report_stablecoin_isnt_fully_backed_%E2%80%9C\"><\/span>&#8221; Binance pushes back against report stablecoin isn\u2019t fully backed &#8220;<span class=\"ez-toc-section-end\"><\/span><\/h1>\n<div class=\"post-content\" data-v-6ed77c39>Major crypto exchange Binance initially pushed back against a Bloomberg report that its Binance-Peg BUSD stablecoin \u201cdoesn\u2019t always <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>ear to have been completely backed by BUSD\u201d.\u00a0<\/p>\n<p>In a Jan. 10 blog post, Binance <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.binance.com\/en\/blog\/ecosystem\/how-we-back-binancepeg-busd-and-explaining-historical-discrepancies-7761334533351669941\">said<\/a> the basis for the report \u2014 later <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.bloomberg.com\/news\/articles\/2023-01-10\/binance-bnb-acknowledges-past-flaws-in-managing-busd-peg-stablecoin-reserves\">amended<\/a> to clarify the difference between a pegged and backed stablecoin \u2014 was a \u201ctiming mismatch in backing Binance-Peg BUSD with BUSD\u201d. The <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">news<\/a> outlet reported that the Binance-peg BUSD was often undercollateralized between 2020 and 2021 based on an analysis from ChainArgo co-founder Jonathan Reiter, a gap that sometimes exceeded $1 billion.<\/p>\n<p>However, according to the exchange, its Binance USD (BUSD) stablecoin was \u201cfully backed by USD cash and cash-equivalent reserves\u201d and the Binance-Peg BUSD was fully backed by BUSD. The reported mismatch seemingly showed data in which the stablecoin was not fully backed at times. <\/p>\n<p>\u201cDespite variances in the data, at no point were redemptions impacted for users,\u201d said Binance. \u201cThere is also no impact to BUSD on ERC-20 issued by Paxos, which is regulated by the NYDFS, audited monthly and backed by USD cash and cash-equivalent reserves.\u201d<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2023-01\/e9435c93-1a60-4b97-850a-d5d7bcc0ca19.png\"><figcaption style=\"text-align: center;\">Cast your vote now!<\/figcaption><\/figure>\n<p>Regulators and <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/social-mediaa\/\" data-internallinksmanager029f6b8e52c=\"1\" title=\"Social Media\" target=\"_blank\" rel=\"noopener\">media<\/a> outlets seemingly turned more of their attention to stablecoins following the collapse of Terraform Labs and its TerraUSD token \u2014 now TerraClassicUSD. The crypto platform was one of the first in 2022 in a <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/watch-movies-tv-seriess\/\" data-internallinksmanager029f6b8e52c=\"8\" title=\"Watch Movies &amp; TV Series\" target=\"_blank\" rel=\"noopener\">series<\/a> of bankruptcies and failures that included Voyager Digital, Celsius Network, BlockFi, and FTX, affecting thousands if not millions of users in the crypto space.<\/p>\n<p><strong><em>Related: <\/em><\/strong><strong><em>Hong Kong lawmaker wants to turn CBDC into stablecoin featuring DeFi<\/em><\/strong><\/p>\n<p>Tether, one of the largest stablecoins by market capitalization, came under fire for similar allegations that its USDT tokens were not fully backed starting with a 2019 lawsuit. In September 2022, a U.S. judge ordered Tether to provide evidence its USDT was backed 1:1. Bitfinex and Tether also reached a settlement with the Office of the New York Attorney <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/general\/\" data-internallinksmanager029f6b8e52c=\"3\" title=\"General\" target=\"_blank\" rel=\"noopener\">General<\/a> in 2021, agreeing to pay $18.5 million for misrepresenting the degree to which USDT was backed.<\/p>\n<p><template data-name=\"subscription_form\" data-type=\"markets_outlook\"><\/template><\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more News articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/binance-pushes-back-against-report-stablecoin-isn-t-fully-backed\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8221; Binance pushes back against report stablecoin isn\u2019t fully backed &#8220; Major crypto exchange Binance initially pushed back against a Bloomberg report that its Binance-Peg BUSD stablecoin \u201cdoesn\u2019t always appear to have been completely backed by BUSD\u201d.\u00a0 In a Jan. 10 blog post, Binance said the basis for the report \u2014 later amended to clarify&#8230;<\/p>\n","protected":false},"author":1,"featured_media":538718,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/cdn-cgi\/image\/format=auto,onerror=redirect,quality=90,width=1200\/https:\/\/s3.cointelegraph.com\/uploads\/2023-01\/ef34d527-baad-4a7c-a7b2-72674ade2227.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[75014,76153,75493,117],"class_list":["post-538717","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-binance","tag-dollar","tag-stablecoin","tag-business"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/538717","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=538717"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/538717\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/538718"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=538717"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=538717"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=538717"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}