Only certain regulated companies will be permitted to issue and offer stablecoins to the public. They will be classified these as “Regulated Stablecoins.”
Several existing stablecoins that do not meet these regulatory criteria will be designated as “Unauthorized Stablecoins” and will face certain restrictions.
Stablecoin Changes Begin June 30, 2024
Binance’s transitional measures aim to help users shift to Regulated Stablecoins while minimizing market disruptions. From June 30, 2024 (UTC+3), Binance will restrict the availability of Unauthorized Stablecoins across its product offerings.
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For Binance Convert, the convert functions for Unauthorized Stablecoins will switch to a “sell-only” mode. EEA users can sell Unauthorized Stablecoins for other digital assets, like Bitcoin or Ether, or Regulated Stablecoins. They can also exchange for fiat, depending on local availability.
However, buying Unauthorized Stablecoins via Convert will cease post-regulation. This approach allows users to smoothly transition to Regulated Stablecoins, ensuring compliance with the new rules.
More About Binance Policy
In terms of Spot Trading, trading pairs that include Unauthorized Stablecoins will continue to be available until further notice. During this interim, users can trade pairs with both Unauthorized and Regulated Stablecoins.
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For Wallet services, Binance will maintain custody and wallet functionalities for Unauthorized Stablecoins. Users will still be able to deposit and withdraw these stablecoins from their Binance wallets. This ensures that they retain access to their assets during the regulatory transition.
Disclaimer
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