Binance DEX Is Ready To List A BCH-Pegged Token

The CEO and founder of the major cryptocurrency exchange Binance is in the crypto news every week. In this week’s updates, he said that the decentralized arm of the exchange, known as Binance DEX, is ready to list a token that is pegged to the value of the Bitcoin Cash (BCH) altcoin.

As the post outlined, a BCH stablecoin could appear on Binance DEX. With this, “CZ” proposes to “list BCH-1FD” which is a pegged token that “tracks the value of the native asset of the Bitcoin Cash.” Changpeng Zhao published a post in Binance’s Token Issuance & Listings section on October 17, with a one-sentence pitch that reads:

“BCH-1FD aims to provide a token pegged to BCH value for trading on Binance DEX. In 2017, the Bitcoin community split into two: BTC and Bitcoin Cash(BCH). BCH is a peer-to-peer electronic cash system.”

If this happens, the Bitcoin Cash news could show a spike for the altcoin. In the paragraph which lists the BCH-1FD team size and whether contributors are involved in other crypto projects, CZ noted that Binance DEX will provide the conversion between BCH and BCH-1FD through deposit and withdraw. Because of this, “there isn’t much development work in this token or any potential conflict of interest,” Zhao added.

Per the proposal to list a BCH-pegged token on Binance DEX, users will also be able to swap the token for the native Bitcoin Cash (BCH) cryptocurrency directly on Binance.com. Right now, the total circulating supply of BCH-1FD is expected to amount to 5,000 BCH. However, this volume could be increased in the future.

“BEP2 BCH is mintable, and the total supply will increase as market demands. All the issued BEP2 BCH will be backed 1:1 by native BCH sitting in a publicly disclosed reserve address that can be monitored by anyone at all times,” the post states.

Besides the BCH-pegged token being listed on Binance DEX, CZ also proposed to list two new trading pairs with the Binance USD (BUSD) stablecoin on the DEX: the Bitcoin BTC/BUSD and Ripple XRP/BUSD pairs.

As we reported previously, Zhao was in the news a few days ago stating the reasons why Binance Coin (BNB) dropped over 50% from its all time high. As he said then, the situation “does not make much sense.”