Binance Might Issue a Stablecoin to Rival Tether
Word of the Tether - Bitfinex scandal has been widely reported on by various sources. In a nutshell, it seems to indicate that the cash reserves of Tether are not exactly as promised. Seeing that Tether is a very powerful altcoin by market cap and widely used by traders, this is something that caused uproar. Many on Twitter voiced their outrage, demanded clarification or asked that large crypto inluencers chime in. Binance's CZ did and it was welcomed with praise.
It shouldn't come as a surprise that Binance is toying with the idea to launch a stablecoin. Several exchanges have done so in the past, other than Bitfinex's Tether. This includes CoinBase's USDC and Gemini's GUSD. Recently in an exchange of words on Twitter, Binance's CEO CZ hinted that he might follow suit.
Should Binance release a stablecoin on BNB's blockchain, one can expect that it will have the same attention to detail that Binance put in its products. This is also something that could greatly increase the use of BNB and make it a competent rival to Ethereum and EOS.
Another option would be to offer an existing stable coin on Binance's platform.
The Bottom Line
CZ and Binance have nothing to lose and quite a lot to gain should they choose to launch their own stablecoin.
It is possible that this is just a matter of good timing for Binance. It could be that they were already considering it, but were waiting for the launch of Binance chain & DEX. This just simply coincided with Tether's implosion.
Either way it looks like we might see the launch of Binance's stablecoin soon.
Written by Jonathan Ganor
Writer & cryptocurrency aficionado