Since the start of 2023, the capitalization of the Binance USD (BUSD) stablecoin has dropped by 80%, with their dominance of the dollar-backed digital currency market falling to just 5% this summer, according to an analysis conducted by CCData.
With the exchange intending to completely discard the token in 2024, it is now urging users to move to other US dollar-pegged digital currencies before February next year.
Withdrawal of BUSD through networks such as Binance Chain, Avalanche, Polygon, and Tron, will be ceased beginning September 7, while replenishment of deposits and withdrawals through Ethereum will remain active.
This is amidst the news of Paxos, pressured by the New York Department of Financial Services, ceasing the issuance of BUSD after being labeled an unregistered security by the SEC.
