WazirX is following the footsteps of Binance in its decision to delist USDC stablecoin.
WazirX, a Mumbai-based cryptocurrency exchange established in 2017, has stopped deposits for USD Coin (USDC), Pax Dollar (USDP), and TrueUSD (TUSD).
According to the official announcement shared on September 19th, the crypto exchange highlights that to enhance liquidity and capital efficiency, user balances will be automatically converted into Binance USD (BUSD).
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The listed stablecoins will be converted at a 1:1 ratio on or before October 5th. The company highlighted that “users will be able to view their USDC, USDP, and TUSD balances under the BUSD-denominated account balance when the conversion is complete.”
According to the crypto exchange, USDC, USDP, and TUSD withdrawals will be supported until September 23rd, 5 PM Indian Standard Time (IST). While delisting is set to happen on September 26th, 07:30 AM IST.
In the announcement, WazirX emphasized that crypto exchanges may revise the list of stablecoins eligible for auto-conversion.
It is worth noting that, on September 5th, one of the biggest crypto exchanges, Binance, announced its plans to cease the support of USDC, USDP, TUSD and convert stablecoin balances to BUSD. The company is set to launch its “auto-conversion” initiative on September 29th.
The news about WazirX making an identical step to Binance’s, comes as a surprise, considering the recent friction between Binance CEO Changpeng Zhao and WazirX co-founder Nischal Shetty.
At the beginning of August, Zhao used Twitter to deny claims that in 2019, Binance has purchased WazirX with a deal worth around $10 million, commenting that “this transaction was never completed.”
Following Zhao's tweets, Shetty also used Twitter to emphasize that despite Binance CEO's claims, “WazirX as a product and a brand is owned by Binance.”
In other news, on August 5th, India’s Directorate of Enforcement (ED) has frozen all of the WazirX funds due to their Money Laundering investigation. Based on the reports, ED froze WazirX accounts with 646,7 million rupees (around $8,1 million).
