The stablecoin was considered to no longer be compatible with the requirements of the trading platform, So its listing was withdrawn.
On March 13 at noon, Coinbase will pause trading of Binance USD (BUSD). The crypto trading platform said that its decision was based on a recent analysis of the stablecoin, which issuance of Paxos ceased after receiving an order from a New York regulator.
“Our judgement to cease trading for BUSD is based on our own internal monitoring and review procedures,” a Coinbase spokeswoman informed The Block. “After careful consideration, we have concluded that BUSD does not currently satisfy our listing criteria and will be removed from trading.”
Clients may still deposit and withdraw BUSD as usual. Nevertheless, the exchange has announced that trading on Coinbase.com (Basic and Advanced Trade), Coinbase Pro, Coinbase Exchange, and Coinbase Prime will be halted.
Earlier this month, Paxos received a Wells notice from the U.S. Securities and Exchange Commission (SEC), which claims that Paxos classified BUSD as unregistered securities. The stablecoin issuer has said that it “categorically disagrees” with the SEC’s classification but that it is engaged in “constructive negotiations” with the regulator. Binance was another partner it severed relations with.
Disclaimer: The information provided in this article is for informational purposes only and should not be construed as financial or investment advice. Cryptocurrency investments are subject to market risks, and individuals should seek professional advice before making any investment decisions.