The world’s largest cryptocurrency exchange, Binance, recently announced that it will remove certain liquidity pools on Binance Liquid Swap. As part of this move, the exchange will remove some significant liquidity pools, including Bitcoin (BTC), Ethereum (ETH), BNB (BNB), Cardano (ADA), Polygon (MATIC), Solana (SOL), Shiba Inu (SHIB), and Dogecoin (DOGE), which allow users to provide liquidity in the pools and earn transaction fees and BNB rewards while easily swapping cryptocurrencies.
Binance Removes Major Liquidity Pools in BUSD Trading Pairs
In an official announcement today, Binance revealed that multiple liquidity pools on Binance Liquid Swap will be removed. Binance will remove some important liquidity pools such as BTC/BUSD, ETH/BUSD, BNB/BUSD, ADA/BUSD, MATIC/BUSD, SOL/BUSD, SHIB/BUSD, and DOGE/BUSD. This move is part of the strategy to completely end support for the BUSD stablecoin by February 2024. Other liquidity pools to be removed include BUSD/DAI, BUSD/USDT, FIL/BUSD, GMT/BUSD, HOOK/BUSD, LINK/BUSD, LTC/BUSD, POND/BUSD, and UNI/BUSD.
Users will not be able to add liquidity to these pools starting from October 23, 07:00 (GMT). Additionally, the cryptocurrencies deposited by users in these liquidity pools will be automatically transferred to their spot wallets on October 27:
Users can withdraw their assets from the above-mentioned liquidity pools before October 27, 07:00 (GMT). Afterward, the funds in the liquidity pools will be automatically transferred to users’ spot wallets based on the current composition ratios of the pools.
Binance also added that it periodically reviews the listed liquidity pools to consolidate liquidity, reduce slippage, and provide better trading prices to its users. This way, the cryptocurrency exchange ensures an optimized trading experience on its platform.
Binance’s Moves Have Diminished BUSD
Binance continues to reduce its support for BUSD by removing trading pairs and liquidity pools associated with BUSD. As a result, the market value of BUSD, which was $22.5 billion at the beginning of the year, has now dropped to $2 billion.
Last week, the cryptocurrency exchange announced that it would remove some significant liquidity pools such as XRP/BUSD, FTM/BUSD, MANA/BUSD, and OP/BUSD. In line with this announcement, liquidity pools for BEL/USDT, FTM/BUSD, FUN/USDT, GMT/BNB, GMT/ETH, HFT/USDT, IDEX/USDT, LEVER/USDT, MAGIC/BTC, MANA/BUSD, OP/BUSD, and XRP/BUSD were removed on October 17.
