Major crypto exchange Binance has announced a new partnership with the developer of Elrond blockchain network. Beginning immediately, the collaboration makes Binance-backed, USD-pegged stablecoin (BUSD) available on the Elrond Network.
Elrond has been claiming to offer high throughput processing capacity that scales up performance and usability for its blockchain network. The firm said its blockchain “brings 1,000x improvements over existing blockchains” backed by a working state sharded architecture that enables fast and inexpensive stablecoin transactions.
The BUSD token is traded almost exclusively on the Binance exchange. It was first announced back in September 2019 as a result of a partnership between Binance and the Paxos Trust Company. The Ethereum-based stablecoin is backed 1:1 to the U.S. dollar and corresponds to the total deposits with its issuer, Paxos, which currently exceeds $100 million.
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BUSD will use the Elrond Standard Digital Token model, which allows blockchain games and other Dapps to scale to millions of transactions per second. The company has a clear adoption strategy, propelled by top partners like Samsung and Binance.
Binance Labs has been an early backer of Elrond project and already led a $3.25 million funding round together with Electric Capital and NGC Ventures. Elrond (ERD) was little known before its Binance hook-up, with the launch of the DEX having already sparked excitement among crypto traders.
“We have been seeing a steady increase in the number of BUSD holders, exchange listings, DeFi offerings and real-world applications. We believe BUSD will continue to surge in popularity given the strength of Binance’s ecosystem,” said Samuel Lim, Binance Chief Compliance Officer.
“Given that the Elrond launch is so close, the immediate availability of the Binance $BUSD will put the high performance capability of our network to great use. This collaboration marks an important step in our focus to significantly improve current blockchain use cases, and enable new ones as soon as Elrond goes live”. said Beniamin Mincu, Elrond CEO.