The largest cryptocurrency exchange in the world, Binance, has announced the launch of stablecoin in the United States. The new stable Binance USD token (BUSD) has been approved by the New York Department of Financial Services (NYDFS), reports CryptoBTCmining.com . The partner in this project is the Paxos Trust Company.
According to a press release, the stable Binance coin will be provided with US dollars in a 1: 1 ratio. The offer combines Paxos Standard and Gemini Dollar as a stable coin approved by NYDFS.
Partnership with Paxos
Verified and identified Paxos customers will be able to directly purchase BUSD through the company's wallet using US dollars or their own PAX stablecoin. Binance users will also be able to exchange BUSD for bitcoins or XRP .
Earlier, the exchange announced its intention to issue a global stable coin as part of its Venus project. Binance has already issued stable coins tied to Bitcoin (BTCB) and British Pound (BGBP).
In a statement, Binance CEO Changpeng Zhao notes:
“We hope to open more financial services to a larger blockchain ecosystem through the launch of BUSD, including more use cases and thanks to powerful stable digital assets.”
Binance USD is a stable coin whose reserves are held by Paxos, the first cryptographic company licensed from NYDFS in 2015 (like the itBit Trust Company), the Company now holds dollar reserves for its own stable coin Paxos Standard and HUSD Huobi token.
According to the company, Paxos will act as custodian and issuer for BUSD, and will regularly review dollar assets.
Paxos co-founder Rich Theo said BUSD would be “a vital step towards the long-term stability of global cryptocurrencies.” He added that Paxos' offer allowed Binance to customize a new product for its users.
“Paxos is a leader in the digital market, and we are pleased to work with them to develop our own stable coin ,” said Changpen Zhao.
Recall, Apple Pay Vice President Jennifer Bailey announced that cryptocurrencies have great potential.
Publication date 09/07/2019
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