Market Analysis

Binance DEX Adds XRP-Pegged Token For Circulation and Trading Pairs

from Crypto Globe 4 years ago 0 0 926

Binance DEX has announced the launch of an XRP-pegged coin for circulation and trading.

The decentralized platform for leading crypto exchange Binance has announced the launch of an XRP-pegged token on Binance Chain, called XRP-BF2.

On Oct. 3, Binance CEO Changpeng Zhao announced the launch of a new token, pegged to the value of XRP.

This was suppose to be announced a bit later. But such is the nature of blockchain project, #transparency. Can't hide anything.Well, there you go, #XRP (on chain pegged) on #BinanceChain and @Binance_DEX.Guess which flood gates this opens up? https://t.co/Mxpm5jZCfz— CZ Binance (@cz_binance) October 3, 2019

Community members were first made aware of the development after a twitter user discovered the XRP-pegged token, called XRP-BF2 on Binance’s DEX explorer.

XRP BEP2https://t.co/FgqHXgYjYM pic.twitter.com/UHejwGQj00— Lukas Bydzovsky (@LukasBydzovsky) October 3, 2019

According to DEX explorer, the new token will have a total supply of 10 million and be available via Binance’s decentralized platform, Binance DEX.

Some users were quick to point out that the creation of an XRP-pegged token was tantamount to introducing more XRP into circulation, creating inflation.

Binance creating pegged xrp tokens means there are more xrp coins/tokens available for trading. Some investors will buy the pegged coins instead of real xrp. It will reduce demand on native xrp tokens— galgitron (no price predictions) (@galgitron) October 4, 2019

However, Zhao responded that while the token will be available for circulation, it’s primary function is to create direct trading pairs for XRP on DEX and other exchanges. In addition, by using DEX, XRP holders can trade directly from their hardware wallet.

Have you ever asked for more trading pairs against #XRP?Native XRP does not have direct trading pairs (especially on any non-custodian DEX) for say, BTC, BNB, MATIC, etc. Well, now it does.— CZ Binance (@cz_binance) October 4, 2019

The addition of an XRP-pegged coin to Binance DEX comes just days after Chainalysis, a leading crypto analytics firm, announced that it would be adding XRP support within the next three months.