Binance to Cease Support for USDC Stablecoin on Tron Blockchain
Binance Ends Support for USDC on Tron Blockchain
Binance, a prominent cryptocurrency exchange, announced on Monday its decision to discontinue support for deposits and withdrawals via the Tron blockchain network for a digital stablecoin linked to the U.S. dollar.
Circle Stops Minting USDC Tokens on Tron
Last month, Circle, a crypto firm based in Boston, declared that it would no longer create USDC tokens on Tron, a rapidly growing platform known for facilitating stablecoin transfers.
Understanding Stablecoins
Stablecoins are digital assets engineered to maintain a consistent value, backed by traditional currencies to ensure stability in volatile crypto markets.
Continued Trading of USDC on Binance
Despite the changes, users can still trade USDC on Binance without any interruptions. Deposits and withdrawals of USDC through other supported networks will remain unaffected, as highlighted in Binance’s official statement.
Tron’s Response Awaited
Tron, the blockchain network in question, has yet to respond to inquiries made by Reuters regarding Binance’s decision.
Timeline for Transition
Binance plans to halt support for the stablecoin on the Tron blockchain effective April 5 at 2 UTC, marking a significant shift in its operational strategy.
Legal Troubles for Tron Founder
Justin Sun, the founder of Tron and a well-known figure in the crypto space, faced legal challenges last year when the U.S. Securities and Exchange Commission accused him of inflating trading volumes and selling unregistered Tron tokens. Sun vehemently denied the allegations, citing lack of merit in the SEC charges.
