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BUSD records $500M outflows following CFTC’s crackdown on Binance

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BUSD’s net outflows exceeded $500M after the CFTC filed a lawsuit against Binance.

CryptoQuant’s head of marketing, Hochan Chung, speculated that the large volume of Binance USD (BUSD) withdrawals could be the result of Binance switching to another stablecoin such as TrueUSD (TUSD) or USD Coin (USDC).

The exchange also recorded an unusually high outflow of $850M in stablecoins a few hours before the CFTC sued the exchange and its CEO.

1/ Large on-chain movements prior to the Binance indictment

A few hours before the Binance CFTC Indictment, there were large stablecoin withdrawals across centralized exchanges, totaling almost $1.5B in just 12 hours

Notably, Binance itself saw an $850M outflow. pic.twitter.com/yLD7f1cgmB
— An Ape's Prologue (@apes_prologue) March 27, 2023

According to Thanefield Capital's research arm, $1.5B worth of stablecoins were withdrawn from multiple exchanges including Binance, Kraken, Coinbase, and Bitfinex shortly before the CFTC’s announcement.

Binance, however, saw the highest amount of stablecoin withdrawals, with additional $240M outflows within an hour of the CFTC’s announcement.

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Data from Coinglass revealed that Binance users have also withdrawn $110M worth of Bitcoin (BTC) tokens from the exchange. Similarly, Nansen confirmed that the exchange’s clients have removed $400M worth of Ethereum (ETH) funds in the last 24 hours. Chung added,

“Also, the changes in Binance's exchange reserves of [BTC], [ETH] and other stablecoins are not notably significant. Only the BNB price has been damaged from the issue.”

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Written by

Ayush Pande

Ayush Pande is a hardware, gaming, and crypto writer based in India. He's a tech enthusiast who's fascinated by the potential of blockchain technology.

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Written by:

Ayush Pande

Co-Founder & CEO

As a tech enthusiast who's always on the prowl for the latest developments concerning crypto and hardware, you can find him covering news stories or tinkering with PCs.

About the Author

As a tech enthusiast who's always on the prowl for the latest developments concerning crypto and hardware, you can find him covering news stories or tinkering with PCs.

About the Author

Reviewed by:

Ayush Pande

Writer

BUSD records $500M outflows following CFTC’s crackdown on Binance

BUSD’s net outflows exceeded $500M after the CFTC filed a lawsuit against Binance.

Custody

April 6, 2025

Table Of Content

Ayush Pande

As a tech enthusiast who's always on the prowl for the latest developments concerning crypto and hardware, you can find him covering news stories or tinkering with PCs.

in

1/ Large on-chain movements prior to the Binance indictment

A few hours before the Binance CFTC Indictment, there were large stablecoin withdrawals across centralized exchanges, totaling almost $1.5B in just 12 hours

Notably, Binance itself saw an $850M outflow. pic.twitter.com/yLD7f1cgmB
— An Ape's Prologue (@apes_prologue) March 27, 2023

According to Thanefield Capital's research arm, $1.5B worth of stablecoins were withdrawn from multiple exchanges including Binance, Kraken, Coinbase, and Bitfinex shortly before the CFTC’s announcement.

Binance, however, saw the highest amount of stablecoin withdrawals, with additional $240M outflows within an hour of the CFTC’s announcement.

‍

Get Our Free Newsletter

Subscribe to our newsletter to get tips, our favorite services, and the best deals on Bitcompare-approved picks sent to your inbox

‍

Data from Coinglass revealed that Binance users have also withdrawn $110M worth of Bitcoin (BTC) tokens from the exchange. Similarly, Nansen confirmed that the exchange’s clients have removed $400M worth of Ethereum (ETH) funds in the last 24 hours. Chung added,

“Also, the changes in Binance's exchange reserves of [BTC], [ETH] and other stablecoins are not notably significant. Only the BNB price has been damaged from the issue.”

‍