Binance, a leading cryptocurrency exchange, declared on Monday that it would cease support for deposits and withdrawals using the Tron blockchain network for a digital stablecoin pegged to the U.S. dollar.
Last month, Circle, a Boston-based cryptocurrency firm, announced that it would no longer create USDC tokens on Tron, a rapidly expanding platform commonly utilized for transferring stablecoins.
Stablecoins are digital tokens engineered to maintain a stable value, backed by traditional currencies.
Binance assured users that they can continue trading USDC on its platform. However, deposits and withdrawals of USDC via other supported networks will remain unaffected, according to a blog post from Binance.
Tron, the blockchain network affected by this decision, did not provide an immediate response to Reuters’ request for comment.
The cryptocurrency exchange specified that support for the stablecoin via the Tron blockchain would cease on April 5 at 2 UTC.
Justin Sun, the founder of Tron and a prominent figure in the crypto industry, faced a lawsuit last year from the U.S. Securities and Exchange Commission (SEC). The SEC alleged that Sun artificially inflated trading volumes and sold Tron tokens as unregistered securities. Sun refuted the SEC charges, stating they “lack merit.”