In a recent statement, Binance revealed its decision to terminate support for Tron network-based USD Coin (USDC) stablecoins by April 5. This move comes after Circle’s withdrawal from the Tron blockchain, prompting Binance users to withdraw their assets or convert them to USDC on other networks within a two-week window.
With less than two weeks to make the necessary changes, Binance users must act swiftly to avoid any disruption in their accounts. While transactions involving USDC on supported networks like Ethereum remain unaffected, the deadline for Tron network-based USDC poses a challenge for users who need to transition to alternative platforms.
Adding to the woes experienced by Binance, the Philippines’ Securities and Exchange Commission (SEC) is set to block its citizens’ access to the crypto exchange within the next three months. The regulatory body cites Binance’s lack of registration in the country as the primary reason for the impending ban.
The decision to end support for Tron-based USDC stems from Circle’s enterprise-wide strategy involving business organization and compliance. Despite the move, Tron network’s founder, Justin Sun, expressed his support for Circle’s decision, noting the decentralized structure shared by Tron, Bitcoin, and Ethereum.
The latest prohibition in the Philippines adds to Binance’s regulatory challenges, with heightened scrutiny in various jurisdictions, including the United States and Nigeria. The move to block access to Binance underscores the increasing pressure on crypto exchanges to comply with regulatory standards and protect investors from unregistered investment products.
As the deadline for Binance users to migrate their assets away from Tron network-based USDC approaches, the crypto exchange faces regulatory hurdles that threaten its operations in key markets. The decision to end support for Tron-based USDC reflects a broader trend of regulatory tightening in the cryptocurrency industry, highlighting the importance of compliance and adherence to local regulations for crypto exchanges operating globally.