Binance USD, also known as BUSD, is a stablecoin created by Binance and Paxos, two of the most well-known cryptocurrency companies. It was introduced in 2019, and its value is fixed at a 1:1 ratio to the US dollar. This means that one dollar of US currency is held in reserve for every unit of BUSD. BUSD's value is intended to be preserved in the context of the highly volatile cryptocurrency market. As a result, investors and traders can participate in multiple high-risk investment products while maintaining a higher level of financial protection against market uncertainties. Binance USD has maintained a strong performance, allowing it to become the third-largest stablecoin and the sixth-largest crypto asset by market capitalization. As a result, an increasing number of users are choosing to include BUSD in their CeFi and DeFi investment portfolios.

https://www.binance.com/en/busd

Binance USD (BUSD) is a stablecoin pegged to the U.S. dollar, issued by Binance in partnership with Paxos. Designed to maintain a 1:1 value with the USD, each BUSD is backed by reserves held in U.S.-based banks and regulated by the New York State Department of Financial Services (NYDFS). As a stablecoin, BUSD offers crypto users a less volatile asset option, making it useful for transferring funds between exchanges, trading, and hedging against market volatility. It combines the stability of fiat currency with blockchain’s efficiency, as BUSD operates on multiple networks, including Ethereum and Binance Smart Chain (BSC). Additionally, BUSD allows for quicker transactions and reduced fees compared to traditional currency transfers, making it popular in the crypto space.