Crypto exchange Binance has transferred roughly $100 million worth of bitcoin from one of its hot wallets into its Secure Asset Fund for Users (SAFU), marking an early on-chain step in the exchange’s plan to reframe its user protection reserve around bitcoin.

Blockchain data shows about 1,315 BTC moved in a single transaction from a Binance-labelled hot wallet to a known SAFU fund address early Monday. The transfer was direct and showed no signs of interaction with external wallets, suggesting an internal treasury reclassification rather than a market-facing trade.

Last week, Binance said it would convert $1 billion worth of dollar-pegged tokens into bitcoin over the next 30 days, pledging to replenish the fund if its value falls below $800 million due to price swings.

That announcement sparked speculation the exchange would become a large spot buyer of bitcoin.

Monday’s on-chain activity suggests otherwise, at least for now. The transaction does not represent a conversion of stablecoins into bitcoin. Instead, Binance appears to be allocating bitcoin it already held into the SAFU fund, effectively ring-fencing part of its existing reserves as designated user protection capital.

The shift does, however, introduce a different risk profile. A bitcoin-backed SAFU fund will fluctuate in value alongside the broader market, increasing the importance of Binance’s promise to top it back up during periods of volatility.

Binance did not publicly comment on the movement as of European morning hours Monday.