In a major milestone for the cryptocurrency market, the First Digital USD stablecoin (FDUSD) and related trading pairs on Binance reached their highest ever share of spot trading volume on the exchange.
Trading pairs containing FDUSD accounted for 38% of Binance's total spot trading volume on February 12. This marks a significant increase of 42.6% compared to the previous month and underlines the growing importance of FDUSD in the crypto trading landscape.
“With BTC/FDUSD being free to trade and most FDUSD pairs having no maker fees, you would expect FDUSD to gain some popularity on Binance,” said Crypto Analyst Rebecca Stevens.
Stevens also attributed the increase in FDUSD trading to Binance's decision to discontinue support for BUSD, which likely encouraged users to switch to the newer stablecoin.
Introduced by FD121, a subsidiary of Hong Kong-based custody and trust company First Digital, FDUSD was launched in June 2023.
Following its listing on Binance a month later, the exchange attracted a lot of attention from investors by offering zero trading fees for FDUSD.
The significant increase in FDUSD's trading volume indicates that stablecoins are increasingly preferred, especially those with favorable trading conditions and a solid utility in the cryptocurrency ecosystem.
*This is not investment advice.
