Paxos’ decision to stop issuing stablecoins Binance USD (BUSD) had a negative impact on the positions of the altcoin Binance Coin (BNB). It fell to its lowest level since January 20.
At the time of this review, BNB was trading at $290.4. Over the past 24 hours, the capitalization of the cryptocurrency has fallen by more than 7% to $45.84 billion.
Last Sunday, BNB held above $315, but this morning the coin began to quickly become cheaper. Of the top ten digital currencies, it suffered the biggest losses. For example, bitcoin and ether fell by about 3% per day.
According to CryptoQuant, investors are selling BNB out of fear that the position of the stablecoin BUSD, also associated with Binance, will worsen in the near future. This token has already dropped to $0.998.
The Paxos team has decided to stop issuing BUSD after the Securities and Exchange Commission (SEC) recognized this stablecoin as an unregistered security.
The issuer’s press service stressed that all investors’ funds are safe and fully backed by reserves placed in banks. The release of new tokens will stop on February 21.