Crypto whale and shark addresses unloaded more than $200 million worth of Binance USD (BUSD) in a single day amid the regulatory uncertainty swirling around the stablecoin, according to the analytics firm Santiment.
Santiment notes in a new analysis that addresses holding between 1,000 to 10,000,000 BUSD collectively jettisoned $207.49 million worth of the stablecoin in a 24-hour period.
The firm also says BUSD’s overall supply on crypto exchanges reached 58.9%, its highest level since late December.
BUSD’s dramatic supply shifts materialized after news broke that the New York Department of Financial Services (NYDFS) ordered crypto company Paxos, which issues and operates the stablecoin in a partnership with Binance, to freeze production.
Reports that the U.S. Securities and Exchange Commission (SEC) plans to sue Paxos also surfaced Monday, but they have not been confirmed.
Paxos announced on Monday that it would “end its relationship with Binance for the branded stablecoin BUSD.” The company also says all BUSD tokens have always and always will be backed by a 1:1 ratio of US dollar-denominated reserves.
BUSD briefly fell close to the $0.99 range but has largely maintained its desired peg and is trading at $1.00 at time of writing.
BNB, on the other hand, has dropped over 5% in the past 24 hours and is trading at $292 at time of writing.Don't Miss a Beat – Subscribe to get crypto email alerts delivered directly to your inbox
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