- Binance announced it will stop supporting deposits and withdrawals via the Tron blockchain network for a digital stablecoin pegged to the U.S. dollar, following Circle’s decision to halt USDC token minting on Tron.
- Despite this change, users can still trade USDC on Binance, with deposits and withdrawals via other supported networks unaffected. Tron, as of now, has not responded to requests for comment regarding this development.
Binance announced it will end support for USDC stablecoin on the Tron blockchain network, but users can still trade USDC on Binance as usual.
Binance and Circle have announced the cessation of USDC token minting on Tron
Binance has declared its decision to discontinue support for deposits and withdrawals through the Tron blockchain network for a digital stablecoin linked to the U.S. dollar. This decision follows a similar stance taken by Boston-based crypto company Circle, which recently announced the cessation of USDC token minting on Tron—a platform that has been witnessing rapid growth and widespread usage for the transfer of stablecoins.
Stablecoins, the digital tokens engineered to maintain a constant value and backed by conventional currencies, have been gaining increased attention and adoption within the crypto sphere. Despite Binance’s decision, users will still be able to trade USDC on the platform, with deposits and withdrawals via other supported networks remaining unaffected, as per a blog post by the exchange.
Tron, the blockchain network at the center of this development, has not yet issued a response to requests for comment from Reuters. Additionally, the impending halt in support for the stablecoin via the Tron blockchain is scheduled to take effect from April 5 at 2 UTC.
Also read: Binance integrates Japanese yen into Binance Convert
Tron’s founder in controversy
The situation surrounding Tron founder Justin Sun adds an extra layer of complexity to this narrative. Sun, a prominent figure in the crypto industry, faced legal action from the U.S. Securities and Exchange Commission last year, with allegations of inflating trading volumes and selling unregistered Tron tokens. Sun vehemently refuted the SEC charges, asserting that they “lack merit.”
The evolving dynamics of the cryptocurrency market, coupled with regulatory scrutiny and strategic decisions made by key industry players, continue to shape the landscape of digital asset platforms and their operational protocols. As the industry navigates through these developments, it underscores the ongoing need for transparency, regulatory compliance, and sustainable business practices to ensure trust and stability in the broader crypto ecosystem.
