Binance, the world’s top cryptocurrency exchange by volume has the issuance of the second cryptocurrency ever onto Binance Chain; it’s affiliated Decentralized Exchange (DEX) that has been announced on October 10 (Thursday).
XRP-BF2 is preceded by a June 2019 addition of a pegged variant of bitcoin, BTCB.
“All XRP issued on Binance Chain will be backed 1:1 by native XRP sitting in a publicly disclosed address that can be monitored by anyone at all times. With no trading involved, it is always 1:1, there is no spread, no slippage, no fees.” Changpeng Zhao
The mechanism will soon spread to other cryptocurrencies as well, CZ continued:
“More significantly, this is not limited to XRP now. The same mechanism can be used to migrate other coins onto Binance Chain, where they can experience non-custodian trading that was not possible before.” Changpeng Zhao
Meanwhile, the only road for off-boarding XRP-BF2 goes through Binance, although the firm is currently working toward adding swap channels through partner wallets.
Thus, Binance made headlines earlier this week with the addition of peer-to-peer payments from Alipay and WeChat, two of the most popular messaging apps in China. Only bitcoin-for-yuan trades are currently supported.