Binance Adds XRP-Pegged Token to Its Decentralized Exchange

The world's leading crypto exchange by volume announced the addition of XRP-BF2 to its decentralized exchange platform.

AccessTimeIconOct 11, 2019 at 6:01 a.m. UTC
Updated Sep 13, 2021 at 11:33 a.m. UTC

Binance, the world's top cryptocurrency exchange by volume, announced Thursday the issuance of the second cryptocurrency ever onto its affiliated decentralized exchange (DEX), Binance Chain.

Listed as XRP-BF2, the XRP variant is pegged one-to-one to XRP on Binance’s main exchange for instant swapping without slippage, the exchange said. Binance minteds 10 million XRP-BF2 for the DEX.

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,” Binance CEO Changpeng Zhao (CZ) said in a statement. “With no trading involved, it is always 1:1, there is no spread, no slippage, no fees.”

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.”

For now, the only road for off-boarding XRP-BF2 goes through Binance, although the firm is currently working toward adding swap channels through partner wallets.

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.

Binance image via Shutterstock

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