Binance Finalizes $1 Billion SAFU Conversion to Bitcoin
In a significant shift of its treasury strategy, Binance has officially completed the conversion of its Secure Asset Fund for Users (SAFU) into Bitcoin. The final step involved the purchase of a 4,545 $BTC tranche, bringing the total holdings of the emergency insurance fund to 15,000 BTC.
At the time of finalization on February 12, 2026, the fund is valued at approximately $1.005 billion (based on a BTC price of $67,000).
Key Details of the Transition
Total Holdings: 15,000 BTC.
Fund Valuation: ~$1.005 Billion.
The "Final Tranche": The last acquisition of 4,545 BTC completed the 30-day conversion window originally announced in late January.
Transparency: The fund is held at a public address: 1BAuq7Vho2CEkVkUxbfU26LhwQjbCmWQkD.
Why the Shift to Bitcoin?
Historically, the SAFU fund was held in stablecoins (like USDT, USDC) to ensure price stability. However, Binance has moved the entire reserve to Bitcoin for several strategic reasons:
Long-Term Reserve Asset: Binance described Bitcoin as the "premier long-term reserve asset" in the crypto ecosystem, citing its scarcity and global liquidity.
Regulatory Independence: By moving away from fiat-backed stablecoins, the fund reduces exposure to potential regulatory pressures or risks associated with traditional currency issuers.
Alignment with Crypto Principles:Holding the insurance fund in the asset it is designed to protect aligns the exchange's interests with the broader health of the Bitcoin network.
The Safety Net: A $800 Million Floor
To address concerns about Bitcoin's volatility, Binance has implemented a rebalancing framework. If a market downturn causes the value of the 15,000 #BTC to drop below $800 million, Binance has committed to injecting additional capital to bring the fund back up to the $1 billion target
What is SAFU
Established in July 2018, the Secure Asset Fund for Users (SAFU) is an emergency insurance fund funded by a percentage of Binance's trading fees. It is designed to protect users in extreme scenarios, such as exchange hacks or massive
