Binance’s SAFU Fund, which was created to protect user funds in case of emergencies, has recently undergone a major transformation. The fund’s value has dropped from $1 billion to just around $32 million, after its entire assets were transferred to the stablecoin USDC. The move was made to enhance stability and credibility, as Binance chose a stable and reliable currency like USDC. The fund now represents around 3% of the total USDC supply of $32.6 billion.
These changes come at a time of growing regulatory challenges around digital assets, as Binance appears to be moving to mitigate market volatility and respond to regulatory compliance requirements.
