– Binance has been experimenting with lesser-known stablecoins after pausing the use of USD Coin (USDC).
– Coinbase CEO Brian Armstrong mentioned that Binance moved some funds from USDC to another stablecoin, but the market cap of USDC has remained stable.
– Binance has previously converted USDC to other stablecoins, such as Binance USD (BUSD) issued by Paxos Trust Company.
– Binance has been searching for new stablecoins since the New York Department of Financial Services ordered Paxos to stop issuing BUSD.
– Binance has recently turned to a relatively unknown stablecoin called FDUSD, which has gained traction after Binance launched trading pairs for it.
– USDC’s market cap has decreased significantly in the past year, while FDUSD has seen increased attention.
– The rise of FDUSD has even caught the attention of Tether’s CTO, who noted the pressure on USDT and the redemption of USDC.
– USDC is the second-largest stablecoin by market share, but its market cap has shrunk in recent months.