Binance, the largest cryptocurrency exchange in the world by trading volume, announced the commencement of an ambitious plan to convert the reserve of the SAFU (Secure Asset Fund for Users) from stablecoins to Bitcoin, with a total value reaching one billion dollars. The first batch has been successfully completed, as the platform purchased a quantity of Bitcoin worth 100 million dollars, in a step that comes in response to community criticism following the major liquidations last October, reflecting strong confidence in Bitcoin as a long-term reserve asset.
This shift is considered a significant strategic transformation, as the fund that previously relied on stablecoins transitions to direct exposure to Bitcoin, with a commitment to rebalance if its value drops below $800 million.
## Details of the first batch
- Date: The completion of the first batch was announced on February 2, 2026.
- Value: $100 million in stablecoins (mostly USDC or similar).
- Quantity: Approximately 1,315 Bitcoin (BTC) were transferred in a single transaction from a hot wallet belonging to Binance to a known SAFU fund address.
- Approximate purchase price: About $77,873 per Bitcoin (based on market reports that day), as Bitcoin was trading near its lowest levels in nine months.
- Wallet address: 1BAuq7Vho2CEkVkUxbfU26LhwQjbCmWQkD (verified through tools like Arkham Intelligence).
Binance confirmed the achievement through an official tweet:
"We have completed the first batch of Bitcoin conversion for the SAFU fund worth $100 million in stablecoins. SAFU's BTC address: [address above]. We continue to work..."
## Background of the overall plan
Binance announced on January 30, 2026, a comprehensive plan to convert a full $1 billion from SAFU reserves from stablecoins to Bitcoin in just 30 days. This means an average daily purchase of around $33 million in Bitcoin.
- Goal: To boost user confidence after the October 2025 events that saw liquidations worth $19 billion, which sparked sharp criticism of the platform.
- Protection mechanism: If the value of the fund drops below $800 million due to Bitcoin price volatility, Binance will add more Bitcoin to bring it back to the $1 billion level.
- Periodic rebalancing: The fund will undergo regular rebalancing to maintain the target value.
## Impact on the market
This step is seen as potential support for Bitcoin's price during the current weakness period, as ongoing buying represents structural buying pressure. However, analysts confirm that the impact may be relatively limited compared to the overall market size, but it sends a strong positive signal from the largest player in the industry.
- Price context: The first batch came while Bitcoin was trading near relatively low levels, meaning Binance was "buying the dip."
- Reactions: A significant part of the community welcomed the move as a sign of confidence in Bitcoin, while others viewed it as an "implicit apology" for previous liquidation events.
## Conclusion
Binance's plan to convert $1 billion into Bitcoin represents a bold strategic move that enhances Bitcoin's status as a reserve asset and provides an additional layer of protection for user funds. As the batches continue over the next 30 days, this may contribute to price stability or support during current volatility. The market remains watchful of the actual execution and its impact on liquidity and sentiment, especially as macro pressures continue on risky assets. This move could mark the beginning of a broader trend where more institutions and platforms shift to holding Bitcoin as a core part of their reserves.