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> Interesting. Because a lot of people think they're an exchange and use BInance as such. ...that's what I said? > What? Someone trusted Binance to store USDC

> Interesting. Because a lot of people think they're an exchange and use BInance as such. ...that's what I said? > What? Someone trusted Binance to store USDC. The conversions should not have happened. Conversions were announced timely. See https://www.binance.com/en/support/faq/what-is-busd-auto-conversion-and-how-to-deposit-and-withdraw-usd-stablecoins-on-binance-7a2571c63d97459ab4e44a8dd01cf7e8 https://www.binance.com/en/support/faq/what-is-busd-auto-con... > No. Nobody is expecting that. You're the only person that mentioned it. Its the logical conclusion of people expecting Binance to hold full USDC deposit amounts, even when most/all USDC was converted to BUSD.

nailer 4y ago
Sorry I typed too quickly. People can and do expect Binance to be /custodians/. > Conversions were announced timely. Yes. Without consent of customers, or even any confirmation from customers that they'd read of and were aware of their coins being swapped for a different currency backed by a different organisation. > Its the logical conclusion of people expecting Binance to hold full USDC deposit amounts No. The logical conclusion of people expecting Binance to hold full USDC deposit amounts is a 1:1 USDC holding, not to have a second BUSD copy of every coin. This is a bizarre straw man.
- crypt1d 4y ago
  I guess we'll have to agree to disagree then. If customers didn't want their USDC deposits converted, they shouldn't have used Binance. Its not a public service company. Same goes for your expectations of custody, they never claimed to be one. Conversions are even announced when you go to deposit USDC: "Please note that your USDC Deposit will be auto-converted to BUSD at a 1:1 Ratio. Please refer to announcement details. https://www.binance.com/en/support/announcement/e62f703604a94538a1f1bc803b2d579f https://www.binance.com/en/support/announcement/e62f703604a9..." I don't see how your point holds, besides "customer expected X, but got Y" - but this is because customer is misinformed, not because Binance has an obligation to store USDC 1:1 (in this case).
  - nailer 4y ago
    Nobody said Binance was a public service company. This is another bizarre straw man. > never claimed to be one. Binance say they are a custodian on their own website. > customer expected X, but got Y Yes. Misleading people for financial gain is fraud. > this is because customer is misinformed No customer holding USDC in Binance knew their funds would be replaced before Binance replaced their funds.

nailer 4y ago

Sorry I typed too quickly. People can and do expect Binance to be /custodians/. > Conversions were announced timely. Yes. Without consent of customers, or even any confirmation from customers that they'd read of and were aware of their coins being swapped for a different currency backed by a different organisation. > Its the logical conclusion of people expecting Binance to hold full USDC deposit amounts No. The logical conclusion of people expecting Binance to hold full USDC deposit amounts is a 1:1 USDC holding, not to have a second BUSD copy of every coin. This is a bizarre straw man.

crypt1d 4y ago
I guess we'll have to agree to disagree then. If customers didn't want their USDC deposits converted, they shouldn't have used Binance. Its not a public service company. Same goes for your expectations of custody, they never claimed to be one. Conversions are even announced when you go to deposit USDC: "Please note that your USDC Deposit will be auto-converted to BUSD at a 1:1 Ratio. Please refer to announcement details. https://www.binance.com/en/support/announcement/e62f703604a94538a1f1bc803b2d579f https://www.binance.com/en/support/announcement/e62f703604a9..." I don't see how your point holds, besides "customer expected X, but got Y" - but this is because customer is misinformed, not because Binance has an obligation to store USDC 1:1 (in this case).
- nailer 4y ago
  Nobody said Binance was a public service company. This is another bizarre straw man. > never claimed to be one. Binance say they are a custodian on their own website. > customer expected X, but got Y Yes. Misleading people for financial gain is fraud. > this is because customer is misinformed No customer holding USDC in Binance knew their funds would be replaced before Binance replaced their funds.