What is BUSD Cryptocurrency? What can I do with BUSD?
Table of Contents
BUSD – history and definition
1 BUSD is always equal to 1 US dollar. In fact, it is your virtual but real and widely accepted version of USD. This cryptocurrency has appeared in the fall of 2019. BUSD it s a cryptocurrency that operates in two standards: ERC-20 and BEP-2. Thanks to this, your funds will always be at hand, and you can freely transfer them within the blockchain network. There are 12 Billion tokens in circulation for a total of 12.1 Billion.
Binance is currently the most active market that trades this currency. Binance USD (BUSD), the official currency of the Binance reached $ 1 billion in volume on a 1-month basis. The stock exchange explains its success with several factors.
Binance and the success of BUSD
We have noticed a huge increase in the reach and use cases of this stablecoin. Several observers noted that the BUSD increased its utility due to several factors, including increased grip in several countries such as Brazil, as well as the growing role of stablecoins in simplifying payments around the world. On March 13, BUSD surpassed $ 100 million in market capitalization.
It only took a month and a few days for the coin to reach double this market cap. Where does this success come from?
Currently, you can use BUSD in services such as exchanges, cryptocurrency wallets, decentralized financing protocols, payment and fiat gateways, etc. An important factor in achieving the above values is the growing acceptance for BUSD in more exchanges. And the fact, that Binance USD is now an official stable coin, only adds to its popularity.
Stablecoin – what is it?
Authorities, regulators and banks are still quite reluctant to use cryptocurrencies, especially because of a controversial past. Thus, in many countries, trading and sometimes even possession of virtual money is prohibited. However, the crypto industry wants to grow, so to bypass the bans and facilitate the use of digital assets, stablecoins have been created. What is stablecoin?
The emergence of Bitcoin at the end of the previous decade allowed us to look at the financial market from a completely different perspective. What we have known so far as the only financial system has gained a serious digital competitor. Hundreds of new cryptocurrencies have been created since 2010.
Stablecoin is a cryptocurrency that maintains a stable value against an established external asset class. It aims to minimize price volatility while keeping their value against the value of traditional real-world assets such as one fiat currency, currency combination, or real-life valuable commodity (e.g. oil, gold).
The crypto exchange rates of Binance USD, are based on an unofficial world currency – the American dollar (USD). For several years, more and more stablecoins backed by the euro (EUR), British pound (GBP), Japanese yen (JPY), or even goods traded on asset exchanges.
What can I do with BUSD?
Considering all of the above, BUSD is a safe choice for traders who want to take profits from the sale of a particular coin and not waste their money. The fact that the coin does not change its value in any way can help in trading on the crypto exchange. In BUSD, you can safely store your funds without fear that they will depreciate at one point. You can find great deals on BUSD exchange on our website.
George Brown is a main editor in Bitgraph Network Team.