India-based Bitcoin exchange WazirX also follows the largest cryptocurrency exchange Binance. WazirX will automatically convert balances of altcoin projects USD Coin (USDC), Pax USD (USDP) and TrueUSD (TUSD) to Binance USD (BUSD) in October at a 1:1 ratio.
WazirX delists three altcoin projects
WazirX, India’s leading Bitcoin exchange, is removing USD Coin (USDC) from its platform. In this context, it chose to convert the remaining balances to the Binance-backed Binance USD (BUSD) stablecoin. WazirX announced on Monday that it has officially stopped depositing USDC, along with Pax USD (USDP) and TrueUSD (TUSD).
According to the announcement, the platform will offer the BUSD stablecoin to increase liquidity and capital efficiency for users. WazirX said on October 5 that users will automatically apply a 1:1 ratio of BUSD to their current USDC, USDP and TUSD balances. The Bitcoin exchange made the following statement on the subject:
Users will be able to see their USDC, USDP and TUSD balances under their BUSD account balance once the conversion is complete. WazirX has the right to change the list of stablecoins eligible for automatic conversion.
Meanwhile, USDC, USDP and TUSD withdrawals on WazirX will be available until Friday. The platform then plans to remove stablecoins from spot trading pairs on September 26. According to data from CoinGecko, WazirX was trading insignificant amounts of USDC prior to the announcement. The only USDC trading pair listed on WazirX is USDC against Tether (USDT). Its daily volume is around $3,400. By contrast, BUSD has two trading pairs traded on WazirX against USDT and the Indian rupee. Their daily trading volumes are $5,700 and $5,200, respectively.
Bitcoin exchange WazirX moves in parallel with Binance
Launched by fintech firm Circle and Coinbase crypto exchange, USDC is the second largest stablecoin by market cap after Tether USDT. At press time, USDC has a market cap of $50 billion. That’s less than $17 billion less than rival stablecoin USDT. Binance USD, the third largest stablecoin by value, has a market cap of $20.6 billion, according to CoinGecko.
Top 3 stablecoins / Source: CoinGecko
WazirX’s decision to delist USDC comes shortly after Binance announced its plans to remove USDC from its platform. Similar to WazirX, Binance said it will automatically convert USDC, USDP and TrueUSD balances to BUSD stablecoins to increase liquidity.
In August, Binance denied owning any stake in WazirX after the Indian crypto exchange came under regulatory scrutiny. India’s Enforcement Directorate previously froze more than $8.1 million in funds in WazirX as part of an Anti-Money Laundering investigation against the firm.
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