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Binance To Turn $1 Billion User Protection Reserve Into Bitcoin
In an open letter to the crypto community on Friday, Binance said it will gradually switch the stablecoin Secure Asset Fund for Users (SAFU), a security fund created to protect users from losses due to unforeseen events like hacks, into Bitcoin within 30 days.
To address potential price swings from holding Bitcoin instead of stablecoins, Binance indicated that it shall conduct regular audits and rebalancing of the fund based on market value.
“If the fund’s market value falls below $800 million due to BTC price fluctuations, Binance will rebalance the fund to restore its value to $1 billion,” Binance wrote.
Binance’s proof-of-reserves report showed users holding approximately $162 billion in crypto tokens on the platform as of 2025.
 
“This initiative is part of Binance’s long-term industry-building efforts, and we will continue to advance related work, gradually sharing more progress with the community,” the exchange continued on Friday.
All Eyes On Bitcoin Monthly Close
Binance’s decision comes amid a dramatic downturn in the price of Bitcoin. According to CoinGecko data, the premier crypto dropped over 6% over the last 24 hours, hitting a low of $81,314 before a slight recovery. The total crypto market cap fell by 6.5%, resulting in $1.7 billion in liquidated positions.
According to Keith Alan, cofounder of trading resource Material Indicators, Bitcoin needs to reclaim the 2026 open by the monthly candle close or risk “bearadise.”
“$BTC is once again testing support at what I consider to be the most important level on the chart. The Monthly candle close rapidly coming into focus makes this an inflection point for the trend,” he noted in a post on X.
“A monthly close above the Yearly Open will fuel hopium for bulls. A close below that Timescape Level ($87.5k) will put us on a path to Bearadise.”