Home News Binance to Discontinue USDC Support on Tron Network

Binance to Discontinue USDC Support on Tron Network

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Important facts:
  • Deposits and withdrawals of USDC tokens (TRC20) will not be effective after April 5th.

  • Tron remains the network with the largest supply of USDT, the dominant stablecoin in the market.

Binance, the world’s largest cryptocurrency exchange, will stop supporting the USDC stablecoin issued on the Tron network. USDC withdrawals and deposits will be suspended after 2:00am (UTC) from April 5th.

according to a publication On the Binance blog, this measure only affects withdrawals and deposits connected to the Tron network. Tokens issued on other networks like Ethereum will not be affected. USDC trading on Binance will also not be affected.

Binance’s decision comes a month after Circle, the company that issues stablecoins, announced it would “immediately” end USDC issuance in Tron, as reported by CryptoNoticias. The reasons given by the circle for taking this measure include the company’s concern Protect the Transparency, Reliability, and Security of USDCKeeping pace with increasing regulatory demands in the United States and Europe.

“As part of our risk management framework, Circle continuously evaluates the suitability of all blockchains where USDC is supported,” the company said in February.

In August 2023, Circle became the main issuer of USDC after Coinbase gave up some of the control it held until then.

The USDC token remains the second most important stablecoin in the market after USDT.

As a result of the announcement, the value of Tron’s currency TRX dropped slightly this Monday. Its market price increased from US$0.1203 to US$0.1203 0.1174 In two hours, and then jumped to US$0.1193.

XRT price chart for March 25
The market reacted timidly to Binance’s announcement. Source: CoinMarketCap.

In February, TRX reached its highest price in nearly three years. By then the increase had been almost 80% in the last six months.

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