Binance SAFU: $300 Million Converted to Bitcoin to Strengthen Insurance Fund
📋 En bref (TL;DR)
- Massive purchase: Binance converted $300 million in stablecoins to acquire 4,225 BTC
- Total SAFU: The fund now holds 10,455 BTC, approximately $734 million
- Ambitious goal: The exchange aims for $1 billion in Bitcoin within 30 days of the initial announcement
- Progress: 73% of the stablecoin → BTC conversion is complete
- Context: Opportunistic buying after a 23% Bitcoin correction in one month
- Trend: Strategy (formerly MicroStrategy) is also buying the dip, led by Michael Saylor
Binance is making a bold move. The crypto exchange giant has just converted $300 million worth of stablecoins into Bitcoin, bringing its SAFU insurance fund to a record level. A strategic decision that comes amid a market correction — and reveals a lot about the industry’s confidence in the leading digital asset.
With Bitcoin down 23% over the past month, Binance is choosing to buy heavily. Coincidence? Certainly not. The timing reveals an audacious treasury strategy, aligned with the practices of the biggest institutional players.
SAFU Fund Reaches $734 Million in Bitcoin
The SAFU (Secure Asset Fund for Users) is Binance’s emergency reserve. Created in 2018, this fund protects users in case of security breaches or technical failures. With this purchase of 4,225 BTC, the SAFU wallet now holds 10,455 BTC — approximately $734 million at current prices.
The public address of the SAFU wallet (1BAuq7Vho2CEkVkUxbfU26LhwQjbCmWQkD) allows anyone to verify these holdings in real-time. This transparency stands in stark contrast to the historical opacity of some exchanges — a crucial point after the scandals that have rocked the industry.
Goal: $1 Billion in 30 Days
In late January 2026, Binance announced an ambitious plan: convert $1 billion of stablecoin reserves into Bitcoin within one month. With 73% of this goal achieved, the exchange is on track.
Why this conversion? Several strategic reasons:
- Inflation protection: Bitcoin has historically preserved value better than fiat currencies
- Reduced stablecoin risk: Regulatory uncertainties around stablecoins persist
- Alignment with institutional trends: Major corporations are accumulating BTC in their treasuries
Opportunistic Buying During the Correction
Binance’s timing is no accident. Bitcoin dropped from its all-time high of $144,000 (October 2025) to $60,000 last Friday — a correction of over 50%. It’s now oscillating around $69,000.
This extreme volatility has liquidated numerous leveraged positions and triggered panic selling. But for Binance, it’s an opportunity to accumulate at a discount. A deliberate “buy the dip” strategy.
Binance isn’t alone either. Michael Saylor, executive chairman of Strategy (formerly MicroStrategy), hinted on Sunday that his company was also buying. His cryptic message “Orange Dots Matter” accompanied by a chart suggests new institutional purchases.
SAFU: From Internet Meme to Trust Pillar
The SAFU story perfectly illustrates crypto culture. In 2018, YouTuber Bizonacci created a satirical video “Funds Are Safu” to mock concerns about exchange security. Changpeng Zhao (CZ), Binance’s founder, embraced the expression — and turned it into a real commitment.
Today, the SAFU fund represents approximately $1 billion in cryptocurrencies. Part of it now serves as mandatory regulatory reserves in Abu Dhabi, where Binance established its headquarters in 2025.
What This Means for Investors
This massive Bitcoin accumulation by Binance sends a clear signal to the market:
- Reinforced institutional confidence: The biggest players buy during corrections
- User security prioritized: SAFU grows to better protect depositors
- Increased transparency: Public wallets enable independent verification
For Bitcoin holders, seeing a major exchange convert its stablecoins to BTC is a significant vote of confidence. For Binance users, it’s the assurance of a stronger safety net.
📚 Glossary
- SAFU (Secure Asset Fund for Users) : Binance’s insurance fund created in 2018 to protect users against losses from security breaches or technical issues.
- Stablecoin : A cryptocurrency whose value is pegged to a fiat currency (usually the US dollar), such as USDT or USDC.
- Bitcoin : The first and main decentralized cryptocurrency, created in 2009 by Satoshi Nakamoto, used as a store of value.
- Buy the dip : An investment strategy of buying an asset during a significant price drop, anticipating a rebound.
- Volatility : A measure of the amplitude of price variations for an asset. Bitcoin is known for its high volatility.
- Exchange : A platform for buying, selling, and trading cryptocurrencies for other digital assets or fiat currencies.
Frequently Asked Questions
What is Binance's SAFU fund?
SAFU (Secure Asset Fund for Users) is an emergency fund created by Binance in 2018. It serves to compensate users in case of hacks or technical failures on the platform. Binance allocates a portion of its trading fees to this fund.
Why is Binance converting its stablecoins to Bitcoin?
Binance is looking to protect its reserves against inflation and regulatory risks associated with stablecoins. Bitcoin is considered a more robust long-term store of value by many institutions.
How much Bitcoin does the SAFU fund currently hold?
After purchasing 4,225 BTC for $300 million, the SAFU fund now holds 10,455 BTC, approximately $734 million at current prices as of February 2026.
Can I verify SAFU's holdings myself?
Yes, the Bitcoin address of the SAFU wallet (1BAuq7Vho2CEkVkUxbfU26LhwQjbCmWQkD) is public. Anyone can check the balance and transaction history on a blockchain explorer.
Does this purchase affect Bitcoin's price?
A $300 million purchase represents significant demand, but the Bitcoin market moves billions daily. The psychological impact and confidence signal are often more important than the direct effect on price.
📰 Sources
This article is based on the following sources:
Comment citer cet article : Fibo Crypto. (2026). Binance SAFU: $300 Million Converted to Bitcoin to Strengthen Insurance Fund. Consulté le 22 February 2026 sur https://fibo-crypto.fr/en/blog/binance-safu-300-million-bitcoin-insurance-fund
