{"id":560067,"date":"2023-03-06T14:54:28","date_gmt":"2023-03-06T11:54:28","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/heres-how-binance-is-mitigating-its-stablecoin-needs-after-busd-ban\/"},"modified":"2023-03-06T14:54:28","modified_gmt":"2023-03-06T11:54:28","slug":"heres-how-binance-is-mitigating-its-stablecoin-needs-after-busd-ban","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/heres-how-binance-is-mitigating-its-stablecoin-needs-after-busd-ban\/","title":{"rendered":"# Here\u2019s how Binance is mitigating its stablecoin needs after BUSD ban"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_84 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-6a2f330d22855\" 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-6a2f330d22855\" 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\/heres-how-binance-is-mitigating-its-stablecoin-needs-after-busd-ban\/#%E2%80%9D_Heres_how_Binance_is_mitigating_its_stablecoin_needs_after_BUSD_ban_%E2%80%9C\" >&#8221; Here\u2019s how Binance is mitigating its stablecoin needs after BUSD ban &#8220;<\/a><\/li><\/ul><\/nav><\/div>\n<h1><span class=\"ez-toc-section\" id=\"%E2%80%9D_Heres_how_Binance_is_mitigating_its_stablecoin_needs_after_BUSD_ban_%E2%80%9C\"><\/span>&#8221; Here\u2019s how Binance is mitigating its stablecoin needs after BUSD ban &#8220;<span class=\"ez-toc-section-end\"><\/span><\/h1>\n<p><img decoding=\"async\" src=\"https:\/\/images.cointelegraph.com\/images\/840_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjMtMDMvYTE1YWYxY2EtZGJkNS00ZDg5LTllYmItOWM3ZjZiNWFjMzA1LmpwZw==.jpg\" \/><\/p>\n<div class=\"post-content\" data-v-48054ca8>Binance has turned to a new set of stablecoins in the wake of the United States Securities and Exchange Commission\u2019s (SEC) regulatory action against its native stablecoin, BUSD. SEC had sent a Wells notice, alleging BUSD is in violation of the U.S. Securities Law.<\/p>\n<p>Following SEC\u2019s notice, the New York Department of Financial Services (NYDFS) asked BUSD issuer Paxos to stop minting new BUSD altogether. The minting ban on BUSD has forced Binance to look for alternative methods to mitigate its stablecoin needs. <\/p>\n<p>According to on-chain data, the largest cryptocurrency exchange by trading volume is looking to onboard TrueUSD, along with adding support for a few decentralized stablecoins as well. The crypto exchange minted 180 million TUSD from Feb 16 to Feb 24.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">1\/ With the SEC\u2019s regulation of <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/search?q=%24BUSD&amp;src=ctag&amp;ref_src=twsrc%5Etfw\">$BUSD<\/a>, <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/hashtag\/Binance?src=hash&amp;ref_src=twsrc%5Etfw\">#Binance<\/a> is looking to collaborate with other stablecoin projects.<\/p>\n<p>&#8211; Minted 180M <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/search?q=%24TUSD&amp;src=ctag&amp;ref_src=twsrc%5Etfw\">$TUSD<\/a> from Feb 16 to Feb 24;<br \/>&#8211; Announced listing <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/search?q=%24LQTY&amp;src=ctag&amp;ref_src=twsrc%5Etfw\">$LQTY<\/a> in the Innovation Zone on Feb 28;<br \/>&#8211; Announced launching <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/search?q=%24TRU&amp;src=ctag&amp;ref_src=twsrc%5Etfw\">$TRU<\/a> perpetual contract today.<\/p>\n<p>A thread <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/t.co\/YqCDWkd3hE\">pic.twitter.com\/YqCDWkd3hE<\/a><\/p>\n<p>\u2014 Lookonchain (@lookonchain) <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/lookonchain\/status\/1632634614119534592?ref_src=twsrc%5Etfw\">March 6, 2023<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script>TrustToken, the stablecoin operator behind USD-pegged stablecoin TUSD is a Binance partner since June 2019. The partnership allowed Binance to buy TUSD for zero fees and redeem it for fiat currency. Binance\u2019s TUSD relation has come a full circle, where earlier in September Binance auto liquidated TUSD to BUSD to increase its market share. Now, with a ban on BUSD, Binance is increasingly minting new TUSD to mitigate its stablecoin needs.<\/p>\n<p>Binance CEO Changpeng Zhao has said that the crypto exchange will look at other options to diversify its stablecoin away from BUSD after the regulatory actions. Just a couple of weeks later, Binance announced support for the decentralized borrowing protocol Liquity (LQTY) and launched TrueFi (TRU) perpetual contracts. TRU is the native token of the decentralized finance protocol TrueFi for uncollateralized lending.<\/p>\n<p><strong><em>Related: Binance tried to hire Gary Gensler in 2018 for closer ties with U.S. regulators: Report<\/em><\/strong><\/p>\n<p>The Binance listing for Liquity and TrueFi proved to be a big boost in their price, and both tokens have surged by 200% in the last month. Cointelegraph reached out to Binance to get their views on their interest in decentralized stablecoins but didn\u2019t get a response at press time.<\/p>\n<p>Decentralized stablecoins became popular with the advent of Terra\u2019s native stablecoin Terra-USD. Market pundits were of the opinion that decentralized stablecoins would be the next big thing in the crypto ecosystem. However, with the collapse of the Terra ecosystem in May 2022, the opinions about the nascent stablecoin concept changed fast. <\/p>\n<p>The Office of the Comptroller of the Currency (OCC) used the depeg and collapse of the TerraUSD Classic (USTC) algorithmic stablecoin as an example of stablecoins\u2019 \u201crun risk,\u201d and how asset-backed stablecoins also saw minor depeg events as a result.<\/p>\n<p><template data-name=\"subscription_form\" data-type=\"law_decoded\"><\/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 <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> 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\/here-s-how-binance-is-mitigating-its-stablecoin-needs-after-busd-ban\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8221; Here\u2019s how Binance is mitigating its stablecoin needs after BUSD ban &#8220; Binance has turned to a new set of stablecoins in the wake of the United States Securities and Exchange Commission\u2019s (SEC) regulatory action against its native stablecoin, BUSD. SEC had sent a Wells notice, alleging BUSD is in violation of the U.S&#8230;.<\/p>\n","protected":false},"author":1,"featured_media":560068,"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\/2023-03\/a15af1ca-dbd5-4d89-9ebb-9c7f6b5ac305.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[75014,74863,76605,75493,122378,70934],"class_list":["post-560067","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-binance","tag-cryptocurrencies","tag-paxos","tag-stablecoin","tag-terra","tag-regulation"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/560067","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=560067"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/560067\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/560068"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=560067"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=560067"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=560067"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}