Binance to convert $1B SAFU reserves into Bitcoin within 30 days
The shift will take Binance’s insurance-style fund out of US dollar-pegged assets and into Bitcoin within 30 days, raising questions about user protection.
Binance is shifting its flagship user protection vehicle, the Secure Asset Fund for Users (SAFU), from stablecoin holdings into Bitcoin over the next 30 days, re‑denominating the fund’s reserves into BTC.
In an open letter to the crypto community, the exchange framed the move as an expression of its conviction that Bitcoin (BTC) is the core long‑term asset of the crypto ecosystem rather than just another trading product, and said it will rebalance the fund back up to $1 billion if market volatility drives its value below $800 million.
That decision effectively makes the fund more exposed to Bitcoin price swings, raising questions about whether a sharp BTC drawdown could weaken the buffer precisely when a major security or insolvency event might require rapid payouts.