In a recent announcement, Binance has revealed significant changes to its support for BUSD (Binance USD) products, following the decision by Paxos to halt the minting of new BUSD.
Effective from December 15, 2023, Binance will cease support for BUSD products. Despite this, users are assured that BUSD will always be backed 1:1 by USD, as confirmed by Paxos. It’s important to note that Paxos will continue to support and redeem BUSD at least until February 2024.
Users are strongly encouraged to withdraw or convert their BUSD assets into other available assets on Binance before the aforementioned date, December 15, 2023. Binance offers a seamless process for users to trade their BUSD balances for FDUSD at zero trading fees or convert their BUSD balances to FDUSD on Binance Convert at a 1:1 conversion rate with zero fees.
Binance will implement changes in spot trading pairs involving BUSD on specific dates. All open spot orders with respect to the above trading pairs will automatically be closed when trading ceases. Spot Trading Bots services for the affected spot trading pairs will be terminated at different times, ranging from December 11, 2023, to December 15, 2023. Users are advised to update or cancel their Spot Trading Bots prior to the cessation to avoid potential losses.
BUSD will be removed from Futures and Margin, aligning with the schedule provided in the announcement. Users should take note of the schedule for these changes.
From December 31, 2023, 03:00 (UTC), withdrawals of BUSD (ERC-20) tokens via the Ethereum network will cease, and BUSD withdrawals will no longer be supported. BUSD balances in Spot and Funding Wallets will be automatically converted to FDUSD at a 1:1 conversion rate, excluding users in Japan, France, Italy, Poland, and Kazakhstan.
Users can continue converting their BUSD balances to FDUSD at a 1:1 conversion rate using Binance Convert and Binance OTC until further notice. However, the conversion of BUSD to FDUSD at a 1:1 conversion rate will be temporarily suspended from December 29, 2023, 03:00 (UTC) until the completion of the balance conversion event.
– BUSD will no longer be accepted as a collateral asset for loans, effective from October 25, 2023.
– Binance Loans (Flexible and Stable Rates) liquidated outstanding loan orders with BUSD as the borrowed and collateral asset.
– Dual Investment will convert all BUSD open positions to FDUSD from December 11, 2023, 00:00 (UTC).
– Binance Simple Earn will cease support for BUSD from December 13, 2023, 03:00 (UTC).
– BUSD will be delisted as a spend currency for Binance Card from December 13, 2023, 03:00 (UTC).
– Binance Pay will remove BUSD from the list of supported cryptocurrencies from November 30, 2023, 03:00 (UTC).
– Binance Gift Card will stop supporting BUSD redemption from December 13, 2023, 03:00 (UTC).
BUSD balances in Spot and Funding Wallets of users based in Japan, France, Italy, Poland, and Kazakhstan will not be automatically converted to FDUSD on December 31, 2023. However, users in these regions are encouraged to withdraw or convert their BUSD assets before December 15, 2023.
