The CEO of Binance Changpeng Zhao has proposed for adding support for trading bitcoin cash on its exchange developed on top of Binance Chain.
Listing a BCH-Pegged Token
It will be done by listing a new token on the DEX (BCH-1FD) backed by real BCH assets and issued on the Binance Chain.
Binance plan is to issue about $2 million worth of the BCH-pegged tokens initially. It will mint more in response to the market conditions. The BCH-1FD is a token pegged to the BCH value. It will be available for trading on the DEX while allowing users to exchange coins and tokens with full custody over their funds and wallets.
“The BCH community is one of the strongest crypto communities, and we’re excited to collaborate with them on migrating BCH token onto Binance Chain.The BEP-2 BCH token will be pegged to the native BCH. BCH holders can enjoy the seamless token swap experience on Binance.com and non-custodian trading on Binance DEX after the listing proposal is approved by the Binance Chain community.” Changpeng Zhao, CEO of Binance
Decentralized Exchanges For the Removal of Third Parties
Usually centralized exchanges have been dominating the crypto ecosystem in relation to trading volumes. Users like to see a move towards decentralized exchanges for the removal of third parties.
Currently, DEXs suffer low liquidation and long onchain order execution as well as a poor user experience. Binance DEX is meant to change that experience by resembling an interface like the Binance main exchange. It will also enable short block time for faster trading.
Various crypto projects have chosen to join for Binance Chain while wanting their tokens to be listed on Binance DEX.
Source: news.bitcoin.com | Image: binance.com