- Binance desires to have more cryptocurrencies transitioning to its Binance Chain protocol.
- BTCB/BTC trading pair will launch on Binance.com for trading in a few days.
The largest cryptocurrency exchange Binance has announced the issuance of several tokens that will be pegged to the leading cryptocurrencies on the market. The tokens will execute on Binance Chain, the protocol that runs Binance Coin (BNB). The tokens will be accorded with a number of trading options on the exchange in addition to an extension to Binance DEX.
Binance desires to have more cryptocurrencies transitioning to its Binance Chain protocol. One of the initial tokens will be a Bitcoin-pegged token that will have the symbol BTCB in a few days. The token will available for trading on Binance.com in an initial pair of BTCB/BTC.
The crypto-pegged tokens that have been developed on the token standards referred to as BEP2 and will have the backing of Binance reserves for the particular pegged crypto. Prior to the announcement of the news, the CEO of Binance, Changpeng Zhao said via a tweet:
“There will be a transfer of 9001 BTC soon, no need to FUD. It’s for a good thing, details to follow. Waiting for whale_alert.”
Late, Binance explained in a blog post:
“Large buy orders will be maintained on the trading pair on Binance.com, with a price spread of around 0.1%. This provides an easy way for anyone to convert from the pegged token back into the native coin on Binance.com. If this buy order is filled, a new order will be placed while an equal amount of funds will be deposited from the reserve address into Binance.com. The sum of the buy order and the funds on the published reserve address will be bigger than the total supply of the pegged token, ensuring there is always 100% backing.”
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