Solana: OKX and Binance suspend USDC/USDT deposits, Circle reacts

Collateral effect? – In the wake of the bankruptcy of FTX, many players find themselves impacted. Each passing day is thus an opportunity to observe new aftershocks of the historic earthquake that took place last week. Today, it is the platforms Binance and OKX which announce to suspend the deposits of stablecoins evolving on Solana. A decision that triggers the misunderstanding of Circle, the USDC issuer.

Stablecoins on Solana in unstable territory

The Exchange Binance has just announced that it is suspending until further notice ” them USDC and USDT stablecoin deposits of the Blockchain Solana on its platform.

As a reminder, this announcement concerns stablecoins operating on the Solana network, and only these. USDC and USDT tokens evolving on other blockchains (Ethereum, TRON, etc.) are not affected.

A few hours earlier, it was the OKX platform which announced that it would do the same.

The press releases from the two platforms are sparse with details and do not allow us to discern the operational reasons behind this decision with strong symbolism, particularly at this time. Indeed, it will be recalled that FTX and Alameda Reasearch are intrinsically linked to the Solana network.

Whatever the underlying motivations, these delisting decisions quickly provoked a reaction from Circlethe US issuing entity of the USDC, through its CEO Jeremy Allaire:

“USDC on Solana is natively issued by Circle and works well. The motivations behind the actions of the exchanges, which are disappointing, are unclear. »

Clearly guided by the desire to avoid any “panic” effect on systemic contagion risk funds, the boss of Circle wonders above all about the dangerous game that the exchanges could be tempted to play as the crypto sector enters a period of redistribution of forces.

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