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Binance DEX to Come Up with Bitcoin-Backed Currency
On June 17, Binance’s team stated that they will be making several coins pegged to some of the top digital assets. The first one, the blog post says, will be backed by Bitcoin and will be dubbed BTCB.
This and all further made coins will be created in the BEP2 standard developed by the Binance Chain team. All of these coins will be paired with other cryptos on Binance DEX.
BTCB to be fully backed by the reserve coin
The token that Binance Chain is about to launch will be pegged to Bitcoin, and other tokens will be fully supported by the currencies stored on Binance DEX.
The addresses where reserve currency is kept will be open for anyone to check. The Binance team ironically emphasizes that this will be much easier to do than check the USD balances of Tether Ltd, thus avoiding any controversies.
The new coin will be paired with BTC, just like the other pegged coins will be put in pairs against their native coins. In the case of the first one it will be BTCB/BTC.
Binance DEX to increase its utility value
The team of the exchange informs its community that big purchase orders will be conducted on Binance.com, the price spread will be about 0.1 percent.
The amount of the reserve currency on the wallet, promises the Binance team, will always exceed the amount of a pegged currency issued to make sure a coin is always fully backed.
The plan of the Binance DEX in launching these crypto-pegged coins is to offer traders a wider range of assets that they will not find on other exchanges, thus raising the utility value of Binance DEX.
The address where the BTC to back the new coin is stored is as follows: 3LYJfcfHPXYJreMsASk2jkn69LWEYKzexb
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