Binance is all set to unveil its stablecoin, Binance USD (BUSD), which has received approval from the New York State Department of Financial Services (NYDFS). Binance unveils Dollar-Backed Stablecoin ‘BUSD’.
BUSD is being created in partnership with the stablecoin issuer, Paxos, which will serve as the USD custodian and issuer. Also, it could be available to residents of New York at launch.
“Paxos is leading the digital trusts space and we are excited to work with them in developing our native stablecoin,” said Binance CEO, Changpeng “CZ” Zhao.
The stablecoin will be available for direct purchase. Also, backed 1:1 for U.S. dollars on the Paxos platform later this month. It will also be available on Binance.com.
As of now, BUSD will trade against three cryptocurrencies – bitcoin (BTC), Binance coin (BNB) and XRP, on the cryptocurrency exchange.
“We hope to unlock more financial services for the greater blockchain ecosystem through the issuance of BUSD, including more use cases and utility through the power of stable digital assets,” said CZ.
Binance unveils Dollar-Backed Stablecoin ‘BUSD’. Rich Teo, Paxos Co-Founder, and CEO Asia commented;
“NYDFS’s approval of BUSD is a vital step towards long term stability in global crypto markets. We are proud that our stablecoin as a service offering enables trusted companies like Binance. This is to introduce products customized to their users. The Paxos brand symbolizes regulatory integrity, consumer protection and transparency for all of our partners.“
Binance has already issued Bitcoin (BTCB), and British pound (BGBP) pegged stablecoins. Binance is also preparing to launch Venus, similar to the upcoming stablecoin Libra from Facebook.
Additional details regarding this partnership will be revealed on-stage at Invest: Asia 2019 where Paxos’ Rich Teo and Binance’s CFO Wei Zhou will be discussing the topic.