Secure Asset Fund for Users (SAFU) refers to the emergency fund that is held in reserve to protect the assets of the investors on the Binance crypto exchange. This money is used to compensate those crypto investors who happen to lose their money on assets due to several factors such as a hack or any other such event on the exchange which eventually leads to a loss of funds.
SAFU was announced by the Binance exchange on 3rd July 2018 as an emergency reserve to protect the investments of users who would fall prey to hack or security breaches. This fund is accumulated by collecting a portion of the trading fees of the users’ transactions. The more the number of traders on the exchange, the more the amount raised through the fund increases.