Coinbase to halt trading of Binance’s BUSD for not meeting listing standards

Coinbase will suspend trading of Binance USD (BUSD) on March 13 at around noon EST.

The crypto exchange said the decision was based on its most recent review of the stablecoin, which Paxos recently stopped issuing following an order from a New York regulator.

“Our determination to suspend trading for BUSD is based on our own internal monitoring and review processes,” a Coinbase spokesperson told The Block. “When reviewing BUSD, we determined that it no longer met our listing standards and will be suspended.”

Customers will still have access to and be able to withdraw BUSD funds. However, trading will be suspended on (Simple and Advanced Trade), Coinbase Pro, Coinbase Exchange, and Coinbase Prime, the exchange said.

Paxos got a Wells notice from the U.S. Securities and Exchange Commission (SEC) earlier this month alleging that it listed BUSD as an unregistered security. The stablecoin issuer said it “categorically disagrees” with the SEC’s categorization but is in “constructive discussions” with the regulator. It also cut ties with Binance.