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- Binance shifts its entire $1B SAFU reserve to Bitcoin to reinforce long-term asset security.
- SAFU recovers $48M in user mistakes this year, bringing total recovered value above $1.09B.
- Global user growth surpasses 300M as the exchange advances its MiCA licensing effort in Europe.
Binance announced a major restructuring of its Secure Asset Fund for Users (SAFU), confirming that the full $1 billion in stablecoin reserves will be converted into Bitcoin over the next 30 days. The exchange said the move strengthens its long-term reserve strategy as volatility pressures the market.
The update was shared on X, where Binance highlighted Bitcoin’s role as a core asset in the crypto ecosystem. The exchange stated that Bitcoin offers long-term value for safeguarding user funds. The announcement came as Bitcoin traded near a multi-month low after a broad market decline.
SAFU was established in 2018 as a protection fund created from a portion of trading fees. The fund provides a financial buffer for user compensation in the event of security breaches or operational incidents. It is currently managed by Nest Clearing and Custody Limited under the Abu Dhabi Global Markets framework.
SAFU Recovery Efforts Strengthen User Protection Standards
In 2025, Binance reports on the efforts it makes to protect its users. Binance claimed that the company was able to resolve 38,648 wrongly transferred asset cases, resulting in the return of $48 million in funds. This amount was recovered through the collaborative recovery process since the fund’s establishment.
The fund’s structure was created to ensure that users feel confident in the exchange. However, SAFU supports transparency by outlining the process for the accumulation and holding of reserves. The fund is dedicated to protecting users’ assets on the platform.
According to Binance, the fund has helped improve the security industry’s standards. The fund encourages asset protection and better risk management practices for platforms. Regulators use the fund’s model to evaluate asset protection practices in the crypto space.
Also Read: CFTC and SEC Launch ‘Project Crypto’ to Update Digital Asset Rules Amid Legislation
However, the exchange reported that they have not yet used any of the SAFU reserves to compensate users. The fund continues to act as a contingency layer. The conversion of its stablecoin holdings into Bitcoin marks the first major allocation shift since its launch.
Binance’s Strategy Fueled by Users and Licensing
Binance also shared updates about its broader growth. It reported that global registrations surpassed 300 million users. The exchange added 100 million users in 18 months, and it now averages more than 180,000 new users daily.
However, the cryptocurrency exchange launched a global program called 300M Users, One Unstoppable Community. In the program, the exchange is encouraging its users to share their thoughts and insights about the platform.
The exchange is also expanding its regulatory presence in Europe. Binance has filed an application to obtain a pan-European crypto license under the Markets in Crypto Assets regime via the Hellenic Capital Market Commission. Major audit firms, such as Deloitte, PwC, and Ernst & Young, are helping the exchange with the process.
The company recently announced a leadership update during Binance Blockchain Week. Co-Founder Yi He was promoted to Co-CEO. Binance said the leadership structure supports its long-term operational goals.
Also Read: Bybit to Launch IBAN-Based Fiat Accounts in February, Expanding Beyond Crypto Trading
