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Binance plans to transfer $1 billion from its user protection fund into bitcoin during the market downturn.
Binance is set to convert the stablecoin assets in its $1 billion Secure Asset Fund for Users to bitcoin within the next 30 days, accompanied by plans for routine audits.
Binance to exchange stablecoins held in user security fund with bitcoin
Key points:
- Binance plans to transition the stablecoin assets in its $1 billion Secure Asset Fund for Users to bitcoin over the upcoming 30 days, with intentions for ongoing audits.
- The platform has committed to restoring the fund to $1 billion should bitcoin price fluctuations reduce its value to under $800 million.
- Binance positioned this adjustment as part of its enduring commitment to industry growth.
Top cryptocurrency exchange Binance announced on Friday that it will replace the stablecoin in its $1 billion emergency user protection fund with bitcoin over the next 30 days.
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This initiative pertains to the Secure Asset Fund for Users (SAFU), which serves as a security reserve aimed at safeguarding users against losses from unpredictable events like hacks. The exchange intends to progressively convert the stablecoin holdings within a 30-day timeframe, pledging to conduct regular audits.
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It further noted that if the fluctuations in bitcoin’s price diminish the fund’s value below $800 million, the exchange will replenish it back to $1 billion.
"This initiative is part of Binance’s long-term commitment to building the industry, and we will persist in progressing this work, gradually updating the community on developments," stated the translated version of the exchange’s post on X.
As of 2025, the exchange’s proof-of-reserves report indicated users held approximately $163 billion in cryptocurrency tokens on the platform.
Stablecoins are digital assets with values tied to an external benchmark such as the U.S. dollar. Bitcoin stands as the foremost cryptocurrency with a market capitalization exceeding $1.6 trillion.
