Is Binance Subtly Strategizing USDC as the Future of the American Dollar?

Binance designates USDC as the primary currency for Binance Pay as Trump advocates for deregulation. The trading market cap of stablecoins escalates beyond $233 billion. Could tokenization be the way forward?

The crypto industry, similar to other sectors, flourishes through partnership. Recently, Binance—the largest cryptocurrency trading platform globally in terms of trading volume and user base—declared that USDC, the stablecoin from Circle linked to the U.S. dollar, will serve as the default currency for new Binance Pay users. Binance Pay is a payment service supporting over 100 crypto assets, including some of the top cryptocurrencies to invest in for 2025.

The Era of Tokenization and Stablecoins

This move to endorse USDC occurs as the Trump administration advocates for deregulation and emphasizes the establishment of clear guidelines, particularly regarding stablecoins.

As of April 9, the aggregate crypto market cap of all stablecoins, especially those tied to the USD, was recorded at more than $233 billion. In recent years, the introduction of more stablecoins has been fueled in part by Tether’s surge in profits and a global increase in crypto adoption.

This collaboration has sparked inquiries—especially now that World Liberty Financial, a DeFi network supported by the Trump family, is advancing into crypto and set to distribute tokens to early supporters of WLFI security tokens using the USD1 stablecoin.

The ongoing question is: Is Binance subtly promoting USDC as the prospective digital representation of the tokenized USD? 

Binance Pay Shifts to USDC: Insights

Binance Pay is a widely used payment protocol facilitating peer-to-peer crypto transactions, catering to over 40 million users monthly.

By transitioning to USDC as the standard currency for Binance Pay, it signifies a major shift from its previous dependence on BUSD, the stablecoin that was discontinued in early 2024 due to regulatory challenges.

By choosing USDC as a “key dollar stablecoin” for its corporate treasury and promoting it throughout its ecosystem, Binance is reinforcing its crypto market position.

Circle CEO Jeremy Allaire praised the integration as a significant advancement for Binance, noting it enables millions of users to access the trending stablecoin.

Furthermore, he emphasized its distinct attributes, including multichain compatibility and minimal transaction fees across various chains, such as Solana and the BNB Chain.

Trump Administration Abolishes CBDCs

The timing of this integration holds considerable importance.

It aligns with the Trump administration’s pivotal policy modifications aimed at positioning America as the global hub for digital currency, potentially reviving the uptrend crypto market wave of 2024. During that period, several of the top meme coins on Solana achieved ledger valuations.

The issuance of the Digital Finance Technology executive order in late January effectively dismantled all federal initiatives to create a central bank cryptocurrency (CBDC).

Notably, the order rescinded a directive from Biden in 2022, contending that a CBDC could endanger the stability of the financial sector.

Recently, another executive order disbanded the DOJ’s National Cryptocurrency Enforcement Team (NCET), indicating that efforts should concentrate more on addressing actual crimes.

The Trump directive disbanding the NCET also specified that agencies ought not to serve as digital asset regulators—a function the administration believes impedes innovation.

Instead, attention is now directed towards stablecoins, a strategy intended to uphold the U.S. dollar’s sovereignty in the international arena.

This direction also coincides with anticipated U.S. legislation on stablecoins, such as the GENIUS Act, which seeks to establish a regulatory framework for stablecoins like USDC.

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Concentration on Private Stablecoins

Analysts indicate that the increasing market demand for stablecoins will channel capital into U.S. Treasuries. Currently, Tether stands as one of the largest holders of U.S. bonds, exceeding even France and Canada.

At the forefront, World Liberty Financial plans to introduce a stablecoin on Ethereum and the BNB Chain. The stablecoin, USD1, is marketed as a “credible and secure” option for institutional and sovereign investors.

However, it is up against formidable competition from USDT—the largest stablecoin by trading market capitalization—RLUSD from Ripple, and various other algorithmic stablecoins, including USDS (formerly DAI).

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