#Binance Completes $1B Bitcoin Buy for Emergency Fund
Binance finished converting its $1 billion Secure #Asset Fund for Users entirely into
$BTC on Thursday. The exchange purchased a final tranche of 4,545 coins, bringing total SAFU holdings to 15,000
$BTC valued at approximately $1.005 billion at completion.
The conversion wrapped up ahead of the original 30-day timeline Binance announced on Jan. 30. The exchange acquired the entire position at an average cost basis of $67,000 per coin, according to a Thursday post on X and Arkham data.
SAFU was originally backed by a mix of assets, including stablecoins, to protect users from losses caused by unforeseen events such as hacks. The fund is now fully denominated in #Bitcoin under the new framework, with Binance pledging to replenish reserves if market volatility pushes the value below $800 million.
The Thursday purchase totaled $304 million worth of Bitcoin, arriving three days after a $300 million acquisition on Monday. The exchange described the shift as reinforcing its belief in
$BTC as the premier long-term reserve asset for institutional holdings.
Binance took an early on-chain step in the conversion process on Feb. 2 by transferring 1,315
$BTC worth approximately $100 million from hot wallets into SAFU. That transaction marked the beginning of one of the largest single treasury-style reallocations into Bitcoin by a crypto exchange.
The conversion took place as broader market sentiment remained deeply negative. The
#Crypto Fear and Greed index plunged to five on Thursday, the lowest reading on record, signaling extreme fear among investors.
Smart money traders have positioned for additional downside across major #cryptocurrencies. Crypto intelligence platform Nansen reported these leading traders by returns held a cumulative $105 million net short position in Bitcoin, with net short positions across most major digital assets except
$AVAX.
