Cryptocurrency

Bitcoin

<ul> 
 <li>Binance ended zero-fee trading for top BTC pair BTC/TUSD, stirring memories of the 90% volume crash in March.</li> 
 <li>Binance appears to be reducing TUSD support despite BTC/TUSD being a leading pair. </li> 
 <li>Sneak Peek 3: Critics say Binance’s policy changes cause market instability. </li> 
</ul> 
Cryptocurrency exchange <a href="https://thenewscrypto.com/?s=Binance" target="_blank" rel="noopener noreferrer nofollow">Binance</a> recently <a href="https://www.binance.com/en/support/announcement/updates-on-zero-fee-bitcoin-trading-2023-09-07-9f438c4249ff45deb34cb9f727f99f83" target="_blank" rel="noopener noreferrer nofollow">announced</a> it will modify its popular zero-fee Bitcoin trading program, ending free BTC/TUSD trades starting September 7th. While zero fees remain for BTC/FDUSD, Binance is discontinuing the incentive for one of its largest BTC pairs. 
In March, when Binance halted zero-fee BTC/BUSD trades in favor of the lesser-used TUSD pair, overall trading volumes crashed by 90%. Now, with TUSD losing its zero-fee status as well, many worry history could repeat itself. 
<h2 class="wp-block-heading" id="h-is-binance-reducing-tusd-support">Is Binance reducing TUSD support?</h2> 
Binance is seemingly reducing support for TUSD amid general stablecoin concerns. However, TUSD and USDT represent Binance’s highest-volume BTC pairs after BNB. Redirecting activity to the marginal FDUSD could spark another heavy selloff. 
After the previous policy shift, the billions in volume on BTC/BUSD evaporated overnight. While some of that migrated to BTC/TUSD, much simply left the exchange. With FDUSD barely registering in the top BTC pair rankings, similar results seem likely. 
Critics argue that Binance’s constantly changing zero-fee pairs and policies create unnecessary instability in the wider market. And unstable market conditions right now, amidst the recent volatility, could lead to more heavy sell-offs, according to analysts. 
But others believe the impacts will be minimal, as most high-frequency traders have already adapted to Binance’s zero-fee pair merry-go-round. However, only time will tell whether this latest shift triggers another cascade of selling or barely causes a ripple.

Binance Ends Zero-Fee BTC/TUSD Trading – Will This Trigger Another Crypto Selloff?

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