Cryptocurrency exchange Coinbase announced on Monday it would delist Paxos-issued binance USD (BUSD), saying the stablecoin failed to meet its listing standards.
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The exchange said in a tweet it would suspend trading for BUSD on all of its platforms (including Coinbase Pro and Coinbase Prime) on March 13, 2023 (around 12pm ET). The exchange added:
"Your BUSD funds will remain accessible to you, and you will continue to have the ability to withdraw your funds at any time."
The news comes after the New York State Department of Financial Services (NYDFS) ordered Paxos Trust to suspend minting BUSD, citing several "unresolved issues" related to the firm's oversight of its relationship with crypto exchange Binance.
Later, Paxos CEO, Charles Cascarilla, said in the letter to staff the New York-based firm was "engaged in constructive discussions with the SEC" on the matter related to BUSD. Although details of the discussions remain undisclosed, Cascarilla reassured Paxos employees the firm would defend its position through litigation, claiming that BUSD isn't a security.
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