Binance has completed the full conversion of its Secure Asset Fund for Users (SAFU) reserves into Bitcoin, finalizing a $1 billion allocation into the world’s largest cryptocurrency.
The move concludes a 30-day transition period that began with Binance’s announcement that it would restructure SAFU’s reserve composition.
With the final tranche purchase of 4,545 BTC executed on February 12, the reserve officially holds 15,000 BTC, valued at approximately $1.005 billion based on a Bitcoin price of $67,000 at the time of completion.
The SAFU fund, originally established as an emergency insurance reserve to protect users in extreme scenarios, was previously backed in part by stablecoin holdings. The latest restructuring consolidates the reserve entirely into Bitcoin.
Binance Shifts Toward Bitcoin as a Reserve Asset
By moving the entire SAFU balance into BTC, Binance is signaling a strong conviction in Bitcoin’s long-term role as a reserve asset. The exchange described the transition as part of its broader commitment to transparency and security for users.
The final tranche purchase marks the closing phase of the conversion process. According to the exchange, the transition was completed within the originally stated 30-day window.
Binance has also publicly shared the SAFU Bitcoin address to showcase transparency, allowing on-chain verification of holdings. The fund’s BTC wallet now reflects the full 15,000 BTC balance.
What This Means for Users
The SAFU fund functions as a protection mechanism designed to cover potential losses in the event of extreme incidents affecting user funds. By denominating the reserve entirely in Bitcoin, Binance is aligning its emergency capital base with what it considers the strongest long-term digital asset.
The development may also reduce exposure to stablecoin-related counterparty risks while increasing direct exposure to Bitcoin price volatility. However, Binance’s messaging frames the shift as a reinforcement of its belief in BTC as the “premier long-term reserve asset.”
With the conversion now finalized, SAFU stands as one of the largest publicly known Bitcoin-denominated exchange insurance reserves in the industry. Strategy, on the other hand, retains its position as the largest known institutional holder of bitcoin with over 709,000 BTC on its balance.
