- Stablecoins are a central pillar of cryptocurrency trading, allowing traders to ‘cash out’ while keeping money on exchanges.
- The world’s largest exchange is testing a new stablecoin tied to the British pound on Binance Chain
Binance cryptocurrency exchange is reportedly testing a British-pound Stablecoin, ‘GBP’ on its native Binance Chain. The stablecoin seeks to provide low price volatility as Bitcoin goes back to the $8,000 mark.
Binance to trade the new coin under the ‘BGP’ sticker
The news was broken by Twitter user CryptosBatman on June 3, who said the digital asset was already listed on Binance Chain using the GBP symbol. CryptosBatman’s tweet stated:
“It looks like @Binance has issued their Stable Coin $BGBP on Binance Chain! It’s incredible how fast Binance moves. I can’t say enough how big this is for Binance and Binance Chain. Expect $BNB to skyrocket from here!”
Still in testing
Confirming the development, CEO Changpeng Zhao (CZ) tweeted to say “This is in testing phase still, only £200 minted so far; slowly, but surely…” before revealing later that the Binance Chain’s first third-party Stablecoin, the USDS.B had been issued on the DEX. CZ tweeted:
“Boom! Welcome the first stable coin @StablyCoin on @binance_dex. And it is not operated by Binance. Early adopters usually rip big benefits when the adopted platform/technology works out”
For those that are familiar with the developments on the crypto scene, the development of a stablecoin by the most popular exchange in the world doesn’t come as a surprise. It will be remembered that earlier in May Twitter user CryptosBatman expressed a wish via twitter asking that they issue their very own stable coin, it would become one of the most prominent tokens on the BinanceChain, while also increasing the utility of the BNB token and the overall network usage.
CEO CZ responded at that time by only saying “careful what you wish for” without giving further details or explanation; it now turns out that the prayers of the user have been answered.
Unlike most other existing Stablecoins that are pegged to the US dollar, the new Stablecoin launched by the world’s largest goes against the grain to be pegged on the Great Britain Pound (GBP). They already supports several of the US dollar-based Stablecoins including TUSD, USDT, USDS and PAX. Their new Stablecoin may still be in its earliest of days but as things stand now, investors seeking to store their digital assets without fearing market volatility are going to have a significant alternative to the existing Stablecoin standards.