Despite the regulators’ decision to stop the production of BUSD, the stablecoin’s issuer Paxos made detailed statements, while BUSD lost some stability.
Paxos announced on its official blog site on February 13 that, according to the decision of the New York Department of Financial Services (NYDFS), the company’s production of Binance USD (BUSD) produced on behalf of the crypto currency exchange Binance. will be stopped reported. Least year BUSD throughout of your support continue will Explaining that, the company underlined that the funds are safe. Despite the statements made by Binance CEO and Paxos, there is a short-term trend in BUSD. depeg seen.
The company said in a statement that NYDFS in accordance with the instruction with the institution coordination stated that it will end the production of new BUSD as of February 21. Despite the cessation of production, all information about BUSD your operations To be managed by Paxos will continue committing company, support to BUSD is at least to February 2024 He also underlined that it will take a long time.
In addition, the company is responsible for all funds, including BUSD client funds. safe and the foremost four accounting by company audited He stated that he was held at the Paxos Trust.
The company’s statements came shortly after the statements of Changpen Zhao (CZ), CEO of Binance exchange, on whose behalf the company issues stablecoins. It was published. CZ also made a similar statement based on the information Paxos gave him recently and stated that the funds are safe.
On the other hand, BUSD 0.8% dollars value by losing It briefly left the $1 stable. According to Coinecko data, as of writing BUSD $0.999 level is being traded.