Binance said it plans to convert the Secure Asset Fund for Users Fund’s $1 billion stablecoin reserves into Bitcoin over the next 30 days.

Binance Plans Bitcoin Conversion For SAFU

Binance communicated the SAFU decision in an open letter to the crypto community. The exchange said it considers Bitcoin a core asset within the crypto ecosystem and is prepared to manage market uncertainty while supporting its long-term role.

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The SAFU Fund was established in 2018 to protect users during extreme events. It has mainly been held in stablecoins to limit exposure to price volatility. The planned conversion represents a shift away from dollar-linked assets toward direct exposure to Bitcoin.

SAFU Fund Replenished If Value Drops

Binance said it will monitor both the SAFU Fund and Bitcoin’s price. If market volatility Volatility In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, or stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Trad In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, or stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Trad Read this Term reduces the fund’s value below $800 million, the exchange said it will add Bitcoin to restore the fund to $1 billion.

In the letter, Binance said, “This initiative is part of Binance’s long-term commitment to the industry, and we will continue to advance related work and gradually share more progress with the community.”

The exchange also referred to wider pressure on crypto platforms to improve risk management Risk Management One of the most common terms utilized by brokers, risk management refers to the practice of identifying potential risks in advance. Most commonly, this also involves the analysis of risk and the undertaking of precautionary steps to both mitigate and prevent for such risk.Such efforts are essential for brokers and venues in the finance industry, given the potential for fallout in the face of unforeseen events or crises. Given a more tightly regulated environment across nearly every asset class, One of the most common terms utilized by brokers, risk management refers to the practice of identifying potential risks in advance. Most commonly, this also involves the analysis of risk and the undertaking of precautionary steps to both mitigate and prevent for such risk.Such efforts are essential for brokers and venues in the finance industry, given the potential for fallout in the face of unforeseen events or crises. Given a more tightly regulated environment across nearly every asset class, Read this Term, governance, and operational standards.

Binance said that by late 2025 it had verified about $162.8 billion in user assets through its Proof of Reserves system, covering 45 asset categories.

Crypto Risk Scrutiny Follows Trust Wallet

The SAFU decision comes amid broader scrutiny of risk management across the crypto sector. About a month earlier, Trust Wallet, a crypto wallet platform linked to Binance founder Changpeng Zhao, reported a security incident that led to losses of at least $7 million in digital assets.