What is Binance USD (BUSD)? - Binance Crypto Explained
Binance is one of the largest cryptocurrency exchanges, and it also offers its own stablecoin, Binance USD, which can be used to purchase crypto on its exchange. You can also use Binance USD (BUSD) to play casino games and bet on sports here at Stake.com.
What is Binance USD (BUSD)?
Binance USD, traded as BUSD, is a fiat-backed stablecoin. It’s pegged to the US dollar, and every BUSD in circulation is backed up by an equal amount of US dollars. This 1:1 ratio of BUSD and US dollars means the value of Binance USD will always be maintained at $1.
The advantage of a stablecoin such as Binance USD is that its value doesn’t change. Compared to some highly volatile cryptocurrencies, Binance USD is much easier to use as a traditional currency. Your holdings of BUSD won’t change in value based on the current market conditions.
The reserve of US dollars that back up the value of BUSD is maintained by Paxos in partnership with Binance. Paxos operates several stablecoins and digital assets, including Pax Dollar and Pax Gold.
History of Binance USD & How Does it Work?
July 2017 – Binance was founded by Changpeng Zhao, a trading software developer.
September 2017 – Binance moves out of China ahead of the country’s ban on cryptocurrency.
January 2018 – Binance becomes the largest cryptocurrency exchange with a market capitalization of $1.3 billion.
August 2018 – Binance raises $32 million for a stablecoin project.
September 2019 – Binance USD is launched on the Binance exchange, allowing users to trade with Binance Coin, Ripple and Bitcoin.
2022 – Binance USD becomes the third largest stablecoin by market capitalization after Tether and USD Coin.
January 2023 – Bloomberg reports that the gap between dollar reserves and the supply of Binance USD surpassed $1 billion on three separate occasions.
September 2023 – Binance announced it would discontinue support for BUSD.
February 2024 – Users holding Binance USD could switch their assets to First Digital USD before this date.
If you already have BUSD, you can choose Deposit, select BUSD and the correct network, and then copy the deposit address.
Paste the BUSD deposit address in your cryptocurrency wallet and double-check it’s correct.
Once the transaction has completed a set number of confirmations, your funds will be available to use.
If you don’t own any BUSD, you can purchase some at a crypto exchange using local fiat currencies or by using a service such as MoonPay or Swapped. Link your preferred payment method, and then choose how much you want to purchase.
Withdrawal Method
Open your wallet, select BUSD and confirm you have enough funds available to cover the minimum withdrawal.
Paste your crypto wallet address and double-check it’s correct.
Enter the amount you’d like to withdraw and confirm.
There are lots of different cryptocurrencies available to bet with at Stake, including Bitcoin, Ethereum, Litecoin, Tron, EOS, SOL, and Dogecoin. You can also play with other stablecoins, such as Tether and USD Coin.
Tether (USDT) is the largest and most widely used stablecoin, with around 70% of the total stablecoin market share. It’s popular because of how widely supported it is on exchanges, making it the preferred way to manage risks while cryptocurrency trading in the volatile crypto market.
Like Tether and BUSD, USD Coin is a stablecoin which is pegged to the value of the US dollar. However, it’s owned and controlled by Circle, and its stablecoin collateral is largely held in short-term US government securities.
All stablecoins provide more or less the same features, allowing users to trade their crypto for a more stable asset. However, BUSD is no longer supported at a lot of crypto exchanges, while Tether and USD Coin are still widely used.
Why Should You Choose Binance USD?
There are a lot of major advantages offered by Binance USD compared to other crypto assets, which is why it’s still widely used for online payments and transfers:
Stable price – The main feature of this stablecoin is that it’s not affected by market conditions. Whether the value of the cryptocurrency market is rising or falling, 1 BUSD is always worth $1.
Linked to the US dollar – The peg to the US dollar means that BUSD retains its value even in the event of market crashes, and it’s easy to calculate the full value of your portfolio.
Fast payments – BUSD transfers are exceptionally fast, with transactions completed within a few minutes at most.
Low-cost transactions – Your BUSD transfers are also very cheap, with little to no transaction fees, even when sending large sums, and there are no withdrawal fees either.
Security – Using BUSD for payments is safer than other payment methods as you won’t need to provide any payment details. In addition, you can store your crypto assets in the Stake vault for added security.
Check the betting odds, enter your stake and confirm using the bet slip.
Best Slots & Sports to Bet on with BUSD
Once you’ve got BUSD on Stake, you can play any of the games from some of the best software providers. There are hundreds of online slots, as well as table games and live dealer games. Our online slot machines stand out thanks to a range of paylines and bonus features, while RNG table games like blackjack and roulette offer a classic casino experience with a low house edge.
