Does anyone still remember back in April 2024? Binance made a decision that was praised by the so-called 'conservatives': they sold all the $BTC and $BNB in the SAFU (Secure Asset Fund for Users) and converted it to 100% $USDC. Many at the time said this was a sign of maturity, seeking stability; after all, how can you compensate if the assets of an insurance fund shrink?
As a result, less than two years later, the wind has completely changed. Just a few days ago, Binance officially announced that they would convert all of this 1 billion US dollars' worth of $USDC back to $BTC.
This matter is not that simple, don't just focus on that 1 billion US dollars' buying order. For a trillion-dollar market cap like $BTC, pouring in 1 billion is just a slightly bigger splash. What’s truly frightening is the reversal of logic behind this action.
First, this is the 'error recognition' and 'alignment' of top capital.
Two years ago, switching to $USDC implied that 'the dollar is safer than Bitcoin and more suitable for reserves.' What is the implication now? It is that 'fiat currencies (or fiat-backed stablecoins) not only cannot keep up with inflation, but even the safety of underlying assets is inferior to Bitcoin.' This is not just bullish; it is certifying the 'digital gold' attribute of $BTC. Even the largest exchange in the world thinks that holding $BTC is more secure than holding dollars, so why are you still shaking that little $USDT in your hand?
Second, this is not just a buying order; this is a perpetual buying order with a 'bottom mechanism'.
Pay attention to the details in the announcement: they promised that if the fund value falls below $800 million, they will personally make up the difference to $1 billion. What does this mean? It means that as long as $BTC falls, Binance is forced to become a 'permanent bull', having to continuously buy in to maintain the fund size. This is equivalent to setting an invisible, long-term support level for the market. The players are clearly telling you: I want to protect the market, and I will use the company's profits to do so.
Thinking deeper, why choose this timing (early 2026)?
Those teachers who draw lines and analyze the market all day are still entangled in short-term support and resistance, but the main funds have already started to grab chips. Whales like Binance have access to much more data than retail investors. Their decision to switch from 'defensive assets' to 'offensive assets' indicates that they believe the downside risk of $BTC at this stage is far less than the risk of missing out.
I also need to remind you, don't rush into things just because you see news. Institutional position changes don't happen in a second; this $1 billion is likely entering in batches, and it may even be absorbed through OTC, so there may not be a big bullish candlestick that blows up the shorts.
But the logic is already very clear: the biggest casino boss has exchanged his life-saving money from 'chips' to 'cash' (in the crypto world, $BTC is cash, while USDC is just chips).
If you're still shorting at this point or holding onto altcoins expecting a 'catch-up', I can only wish you good luck. Following smart money is sometimes a thousand times better than blindly analyzing yourself.
One last question, even Binance has gone all in on $BTC, is 50% of your position in $BTC?