Binance Suspends Trading of FDUSD Stablecoin Citing Technical Challenges

The introduction of the First Digital USD (FDUSD) stablecoin on Binance, which was initially scheduled for listing on July 26, 2023, at 8:00 am UTC, has been delayed until 2:00 pm UTC on the same day. The postponement is attributed to technical challenges faced by FDUSD pairs’ liquidity providers.

Binance, in a statement, assured users of its commitment to safeguard their interests and announced the suspension of FDUSD trading on July 26 at 9:45 am UTC. All pending FDUSD orders will be canceled to prevent any potential issues for traders. FDUSD, a United States dollar-pegged stablecoin, was introduced by Hong Kong-based First Digital Group on June 1.

In their announcement on July 26, First Digital Group unveiled the forthcoming listing of FDUSD on the Binance platform. The stablecoin is fully backed by cash and cash equivalents held in segregated accounts within regulated financial institutions. Regular monitoring and auditing of reserves by independent third parties further reinforce its value proposition, with FDUSD designed to be redeemable at a 1:1 value in U.S. dollars.

Stablecoins belong to a class of cryptocurrencies backed by specific assets or regulated by algorithms to adjust their supply in response to demand.

Beyond being a programmable digital asset, FDUSD is designed to interact seamlessly with financial smart contracts, escrow services, and insurance, all without the need for intermediaries. Additionally, FDUSD’s compatibility with Web3 technologies opens up possibilities for future solutions and enhanced integration into everyday transactions.

To incentivize FDUSD trading, Binance introduced a special promotion featuring zero maker fees for all FDUSD trading pairs. Users can take advantage of zero maker fees during the promotional period on existing FDUSD spot trading pairs, as well as any new FDUSD spot and margin trading pairs.

While Binance addresses the technical issues delaying FDUSD’s listing, users eagerly anticipate the stablecoin’s entry into the market, bringing enhanced programmability and accessibility to the crypto space.

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