Indian Exchange WazirX To Delist USDC, USDP And TUSD

Indian crypto exchange WazirX will delist popular stablecoins USDP, TUSD and USDC in a bid to increase the adoption of BUSD, a step previously followed by Binance, the world's biggest crypto exchange by trading volume.

According to a Monday announcement, the deposits of USD Coin (USDC), Pax Dollar (USDP) and TrueUSD (TUSD) have already been ceased while withdrawals will be available until Sept. 23, 7:30 a.m. ET.

"WazirX has stopped deposits of USDC, USDP, and TUSD, and we will not support any new deposits. To enhance liquidity and capital efficiency for users, WazirX will implement BUSD Auto-Conversion for users' existing balances of USDC, USDP, and TUSD stablecoins at a 1:1 ratio," the Indian exchange stated.

WazirX said that it will also "delist the USDC, USDP and TUSD spot market pairs at 07:30 a.m. IST on 26th September 2022 (10:00 p.m. ET)." The exchange will also introduce an Auto-Conversion mechanism which will automatically convert all the USDC, USDP and TUSD tokens in the users' wallets to BUSD on or before Oct. 5.

"Users will be able to view their USDC, USDP, and TUSD balances under the BUSD-denominated account balance when the conversion is complete," the Indian exchange added.

A similar move was also followed by Binance previously, aiming to boost the adoption and liquidity of its own stablecoin BUSD by delisting USDC, USDP and TUSD stablecoins.

Interestingly, Tether (USDT) has not been delisted from either Binance or WazirX simply because it would be "too disruptive given current USDT liquidity on Binance," as per Jeremy Allaire, the CEO of Circle, the firm behind USDC.

"Binance is not ending support for USDC, and change will likely lead to more USDC flowing to Binance," Allaire said, adding that "with consolidated dollar books, it will now be easier and more attractive to move USDC to and from Binance for trading core markets."

The world's biggest exchange had "acquired" WazirX wherein it purchased certain assets and intellectual property of the latter and not any equity. Recently, the two exchanges have not been on good terms following Indian law enforcement's seizing of WazirX's assets.