The Binance Exchange Is Going to Add New Stablecoins

Binance, one of the largest cryptocurrency exchanges, intends to add several new stablecoins. In May of this year, a stablecoin TrueUSD was added to the exchange, and in September – Paxos Standard (PAX).

At the moment, the exchange is studying new assets in order to tack them to the platform. Currencies are considered according to their profitability and stability. The Gemini Dollar (GUSD), launched by the company of the Winklevoss brothers, sparks interest the most.

It should be recalled that:

A stablecoin is a cryptocurrency the exchange rate of which is pegged to a traditional fiat asset, for example, to the US dollar, the British pound, oil, and gold. Binding to ordinary assets, makes a stablecoin a more stable mean of exchange due to the fact that the exchange rate volatility is significantly reduced. The cost of such tokens is easily predictable since it is tied to the value of another asset.

Today, Tether (USDT) or "digital dollar", Digix (DGX) or "digital gold" and El petro or "digital oil" are considered to be the most popular stablecoins.

Tether (USDT) is a stablecoin run on a Bitcoin blockchain with a token value pegged to the US dollar rate. One USDT corresponds to one US dollar. Currently, approximately 2.3 billion USDT are in circulation.

Digix (DGX) is a stablecoin launched on the Ethereum blockchain. 1 DGX token is equal to 1 gram of gold, which lies in the vaults. Investors can also buy 100 DGX for physical gold (100 grams) by mail or personally.

El Petro is the national cryptocurrency of Venezuela, which is launched on the NEM blockchain. Its price is pegged to oil – 100 million El Petro coins equal to 5.3 billion barrels of crude oil.

It seems that stablecoins are of interest among investors and in the near future they seem to push out the usual cryptocurrency. We recommend following the latest news on this subject.

by JustForex, 2018.10.22

This article reflects a personal opinion and should not be interpreted as an investment advice, and/or offer, and/or a persistent request for carrying out financial transactions, and/or a guarantee, and/or a forecast of future events.

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