Binance, the world’s largest crypto exchange, has announced that it will convert its users’ balances into its own stablecoins, Reuters reported.

In a statement, Binance said that it will automatically make these conversions for existing balances and new deposits of USD Coin, Pax Dollar and True USD to its own stablecoin, Binance USD. 

The move is intended to enhance liquidity and capital efficiency for users, Binance said in its statement. The conversions will take place on Sept. 29.

“Stablecoins are a type of cryptocurrency designed to maintain a constant value, for example through a 1:1 U.S. dollar peg,” according to Reuters. “They play a crucial role in facilitating crypto trading, and allow traders to store idle crypto cash without converting it back into fiat currency.”

USD Coin is issued by U.S. firm Circle and is the world's second-largest stablecoin, with a market capitalization of $51.8 billion, according to crypto data provider CoinGecko. Binance's stablecoin is valued at about $19.4 billion, according to CoinGecko.

Pax Dollar, which claims to be the world’s leading regulated stablecoin, is issued by blockchain company Paxos. True USD, as can be surmised by its name, claims to be the first regulated stablecoin that is fully backed by the U.S. dollar.

In a tweet, Circle CEO Jeremy Allaire predicted that the move will lead to USD Coin and Binance USD gaining market share from the world's largest stablecoin, Tether.