Binance, one of the largest cryptocurrency exchanges globally, has announced a significant change that will impact holders of 15 specific tokens on its platform. By September 1, 2024, Binance will halt withdrawals for these tokens and automatically convert them to USDC, a widely used stablecoin. This move comes as part of Binance’s ongoing efforts to streamline its offerings and ensure greater stability for its users. Some of the tokens involved in this decision include Bitcoin Gold (BTG), Monero (XMR), District0x (DNT), Spartan Protocol (SPARTA), and Bitshares (BTS). Binance has encouraged any user with any of these tokens to withdraw them from the platform before the 1st of September. Any withdrawals after this date shall not be allowed in any manner. As for the delisted tokens, Binance
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Binance, one of the largest cryptocurrency exchanges globally, has announced a significant change that will impact holders of 15 specific tokens on its platform. By September 1, 2024, Binance will halt withdrawals for these tokens and automatically convert them to USDC, a widely used stablecoin. This move comes as part of Binance’s ongoing efforts to streamline its offerings and ensure greater stability for its users.
Some of the tokens involved in this decision include Bitcoin Gold (BTG), Monero (XMR), District0x (DNT), Spartan Protocol (SPARTA), and Bitshares (BTS). Binance has encouraged any user with any of these tokens to withdraw them from the platform before the 1st of September. Any withdrawals after this date shall not be allowed in any manner.
As for the delisted tokens, Binance will create a snapshot of all user balances as of September 2, 2024. After this, the exchange will go through a procedure to burn these tokens and, in return, get USDC tokens. The conversion will be done on a simple average of the token-to-USDC rate that will be obtained over six months starting from September 2, 2024, up to March 1, 2025.
Binance’s Token Conversion Plan Could Influence Cryptocurrency Market
Binance has given assurance that it will complete this conversion and ensure that the users are credited with an equivalent value in USDC before March 1, 2025. This approach will ensure that a smooth conversion rate is arrived at to avoid volatile market forces.
The possibility of delisting and conversion of these tokens may expand the consequences to the entire market of cryptocurrencies. In particular, anonymous cryptocurrencies such as Monero (XMR) or the token associated with the interoperability platform MULTICHAIN (MULTI) may experience a lack of liquidity and availability. This could have implications for their use and relevance in the general market space.
To be precise, Binance insists that users withdraw their tokens before September 1, 2024, to prevent automatic conversion of tokens. It is advisable, therefore, for users to check on Binance’s official announcement page for more information and updates.