Binance – the high-profile, Malta-based crypto exchange platform – has reportedly collaborated with Paxos – crypto asset trust firm – to introduce a NYDFS-approved, USD-backed stablecoin. 

As revealed via a press release on September 5, Asia Rich Teo – Paxos co-founder and CEO – claimed that being able to obtain authorization from from the N.Y State Department of Financial Services (NYDFS) for the stablecoin – dubbed Binance USD (BUSD) – is the key to achieve stability in the long run, across crypto market all through the globe. 

“We are proud that our stablecoin as a service offering enables trusted companies like Binance to introduce products customized for their users. The Paxos brand symbolizes regulatory integrity, consumer protection and transparency for all of our partners.”

BUSD – which has the redemption rate 1:1 for U.S. dollars – will be put up for customers to buy directly on the Paxos platform, as well as for trading against Bitcoin (BTC), Binance Coin (BNB) and Ripple’s XRP on Binance.com.

Changpeng Zhao – current Binance CEO which is also known as “CZ” – shared that Paxos ranked among the top firms in the digital trusts field, and that the crypto exchange looks forward to working with them for the project. 

“We hope to unlock more financial services for the greater blockchain ecosystem through the issuance of BUSD, including more use cases and utility through the power of stable digital assets.”