Binance has agreed to work with Blockchain Foundry Inc. to explore how to make BUSD available on the Syscoin network by using the Syscoin Ethereum Bridge. This continues Binance’s commitment to making the Binance-branded, U.S. dollar-denominated stablecoin accessible to as many channels as possible around the world.
Specifically, BUSD will use the Syscoin Platform Token (SPT) model and many of its unique features to facilitate the use of BUSD and drive massive adoption, giving more benefits to all BUSD users.
“Stablecoins are increasing in popularity and as a market leader in this ecosystem, Binance is always looking for ways to scale BUSD and improve public adoption. Our collaboration with Blockchain Foundry will allow BUSD to be used on the Syscoin platform and the Syscoin Ethereum bridge,” said Samuel Lim, Binance’s Chief Compliance Officer.
How the Use of the Syscoin Ethereum Bridge Benefits BUSD Users
The Syscoin Ethereum Bridge is a decentralized Finance (DeFi) application that enables ERC-20 tokens to move back and forth between the Syscoin and Ethereum blockchains. This bridge can provide fast, scalable, and low-cost transactions for BUSD users, while also maintaining regulatory compliance provided by Ethereum.
“Stablecoins are a growing source of network congestion on the Ethereum network today. The congestion creates expensive transaction fees and slow settlement times. By using blockchain interoperability bridges, ERC-20 stablecoin projects can substantially reduce transaction costs and improve speed. In a quick cost comparison between Ethereum and Syscoin transaction fees, ERC-20 projects can save their users thousands of dollars by reducing costs with the Syscoin blockchain,” according to a statement from Blockchain Foundry.
Blockchain Foundry added that blockchain auditing firm Whiteblock Inc. tested the scalability of Syscoin’s Z-DAG (Zero Confirmation Directed Acyclic Graph) scaling technology. According to the audit report, Syscoin’s network can provide a burst capacity of 60,000 TPS (transactions per second) and a peak of 140,000 TPS.
Binance and Blockchain Foundry will work together to explore ways of bringing more Syscoin features to BUSD users.
BUSD, issued by Binance and Paxos, is approved and regulated by the New York State Department of Financial Services (NYDFS).