Stablecoins continue to play a role of importance in the cryptocurrency industry. Binance, the world’s leading altcoin exchange, confirms that the USDC asset will be listed on the exchange and paired against Bitcoin and BNB.
More Stablecoins for Binance
No one can deny stablecoins are making their mark. Over half a dozen such currencies are in existence. All of them are pegged to the U.S. dollar. According to Stablecoin Index, they all struggle to maintain this peg on a regular basis. Even so, these assets make it more straightforward for consumers to purchase cryptocurrency.
Binance, the leading altcoin exchange, cannot remain behind in this regard. Starting this week, its users can deposit the USDC stablecoin. Trading against Bitcoin and BNB will commence at 10 PM EST. This will bring more liquidity to the platform. It also improves the appeal stablecoins have in this industry. When major platforms support such assets, they receive a bit more legitimacy.
The decision to support USDC is relatively simple. Binance acknowledges it is one of the more widespread stablecoins on the market. Its market valuation is higher than the Gemini Dollar and nUSD, for example. Several dozen exchanges and wallets now support USDC; thus, major platforms cannot remain behind. A growing competition among stablecoins can be beneficial to services who support them.
Strengthening Ties With Circle
The stablecoin created by Circle continues to gain more attention. Circle and Binance are also “partners” as they co-founded the CENTRE Consortium. This project’s main goal is to standardize fiat on the internet. Stablecoins will have a big role to play in this regard. These digital dollars can be transferred globally without any drawbacks.
Binance is not the first major exchange to support USDC. Coinbase was among the first to enable support for Circle’s USD peg. As such, users can convert this stablecoin to U.S. dollars through both Coinbase and Circle itself. As Coinbase remains a key gateway to cryptocurrency, Binance can indirectly benefit from that popularity.
For Binance, this is the second major stablecoin to come to its platform. Similar to other exchanges, they allow users to trade Tether’s USDT against many top cryptocurrencies. The addition of USDC, while limited to Bitcoin and BNB, may be expanded upon in the future. Other platforms let users trade between stablecoins intermittently. Binance has, for now, no plans to engage in such activity.
What do you think about Binance pairing USDC against BNB and Bitcoin? Let us know in the comments below.
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