What assets back the value of BUSD?

3 answers

• Dec 28, 2021 · 3 years ago
  BUSD, also known as Binance USD, is a stablecoin that is pegged to the value of the US dollar. The value of BUSD is backed by a combination of assets, including cash and cash equivalents held in reserve accounts. These reserves are regularly audited to ensure transparency and maintain the 1:1 ratio with the US dollar. The assets backing BUSD are held by Paxos Trust Company, a regulated financial institution. This ensures that BUSD remains stable and reliable for users in the cryptocurrency market.
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• Dec 28, 2021 · 3 years ago
  The value of BUSD is backed by a diversified portfolio of assets, including cash, short-term government securities, and other stable and low-risk investments. These assets are held in reserve by Paxos Trust Company, which is responsible for maintaining the stability and liquidity of BUSD. The portfolio is regularly audited by third-party firms to ensure transparency and compliance with regulatory standards. This asset backing mechanism provides confidence to users that the value of BUSD will remain stable and secure.
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• Dec 28, 2021 · 3 years ago
  BUSD is a stablecoin that is backed by a combination of assets, including cash, cash equivalents, and other short-term investments. The assets backing BUSD are held in reserve by Paxos Trust Company, a regulated financial institution. This ensures that BUSD maintains a stable value and can be redeemed for US dollars at any time. The asset backing mechanism provides transparency and trust to users, making BUSD a reliable and widely accepted stablecoin in the cryptocurrency market.
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