Quick Guide about Binance USD (BUSD) One of the Top Stablecoins!
Launched in September 2019, $BUSD is a fiat-backed stablecoin, the price is pegged 1:1 with the US Dollar.
What is Binance USD (BUSD)?
The token was deployed on the Ethereum network as an ERC20 token, since its initial release, and it is now commonly transacted on multiple popular networks including Binance’s native networks BEP-2 and Binance Smart Chain (BSC). BUSD was created from a collaboration between Binance one of the most recognized cryptocurrency exchange platforms and Paxos a third-party regulated blockchain infrastructure platform. BUSD now ranks third among stablecoins with the biggest market capitalization, only behind USDT and USDC.
How does Binance USD (BUSD) work?
Paxos maintains enough US dollars to cover the whole market supply of BUSD in order to keep its value at one dollar. Through Paxos, BUSD and USD are always convertible. Take a closer look at how:
- A user transfers USD to the reserve bank account of Paxos
- The issuer (Paxos) generates an equivalent quantity of BUSD on the Ethereum
- While the USD is kept in the bank reserve account, the freshly issued BUSD is given to the user
- Additionally, the mechanism always runs backward. Users can burn BUSD with Paxos and receive $1 in exchange
The process may maintain a continuous 1:1 ratio between the supply and reserves by burning/minting BUSD using the smart contract.
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Where to Store Binance USD (BUSD)
There are many wallets to choose from to store Binance USD (BUSD). There are Software wallets such as Exodus, Atomic Wallet, Guarda Wallet, and Metamask.
Leading hardware wallet providers such as Ledger and Trezor are integrated with Binance USD (BUSD) and Binance Chain wallets will come as standard on their devices.
We always recommend our customers perform their due diligence and research into any platform they are looking to start using. You may find some general information regarding various wallets on our Wallet Guides page.
Where to Buy And Sell Binance USD (BUSD)
You can Buy & Sell Binance USD (BUSD) here at BC Bitcoin.
You can Buy Binance USD by heading over to the Buy Coins page of our website. BUSD is available on BC Bitcoin trading against major fiat currencies: GBP and EUR. Buying BUSD has never been easier, simply place your order and provide your wallet address. Once your payment arrives, BUSD will be sent directly to your wallet.
If you choose to Sell Binance USD (BUSD), you can send us the coins and receive a payment to your bank account. Details and a live valuation can be found on the Sell Coins page.
Binance USD (BUSD) Resources
Website: https://www.binance.com/en/busd
Block Explorer: https://etherscan.io/
GitHub: https://github.com/paxosglobal/busd-contract
Twitter: https://twitter.com/binance
Disclaimer: The information provided in this article is intended for informational purposes only. It is the readers' responsibility to complete their own research and due diligence.
