Binance Increases USDC Holdings as BUSD’s Market Cap Slides Lower
Martin Lee, Nansen’s data journalist, said that the USDC (usd coin) on Binance has been steadily increasing this week. Lee posted Tuesday that it was “interesting to see USDC on Binance rise so much since the US Dollar news.” Lee also stated that Binance witnessed a $1.5 Billion increase in USDC over the past seven days.
He also stated that he expected the supply of tether ( USDT ) to rise on Binance more that USDC, ‘given you can’t trade with USDC’ on Binance. Binance removed USDC trading pairs and converted customer balances to USDC on Sept. 5, 2022. Wazirx, two weeks later, followed Binance’s lead, delisting USDC (USDC), and a few other stablecoins, to auto-convert balances into BUSD.
Bitcoin.com News reported on February 19, that nearly 3 billion USD had been removed from market. Today, this number has risen to 3.55 trillion since Paxos declared it would not continue minting BUSD.
The Paxos-managed stablecoin remains the third largest stablecoin in terms of market capitalization, until it falls below $5 billion DAI’s market value. BUSD, once a prominent crypto asset in the top ten by market capitalization is on the verge of being eliminated from this list.
The Nansen researcher also pointed out that Binance’s main bank account has $1.8 billion USDC today. This is the highest amount in the past 90 days. As of the writing time (ET), on February 21, 2023, there was $1.821 trillion USDC in Binance’s main wallet.
Nansen’s portfolio viewer does not look at ERC20-based balances. Binance holds just over 100,000,000 Tether ( ) in the same wallet. The Binance wallet also has 79.24million trueusd (TUSD), and 5.34million DAI.