Zilliqa, an enterprise-level blockchain platform, says it will work with Binance to bring the BUSD stablecoin onto the Zilliqa network.
The BUSD stablecoin, issued in partnership with the Paxos Trust Company, is regulated by the New York Department of Financial Services and audited on a monthly basis. It is important to note that this stablecoin is backed by 1 to 1 dollar to coin. Funds are held in US banks.
Zilliqa says it will collaborate with Switcheo, a decentralized exchange, in forming an administrative consortium to manage all ZRC-2 BUSD (zBUSD) contracts. They will also build an “interoperability bridge” between Ethereum and the Zilliqa chain and allow users to move ERC-20 BUSD to the Zilliqa chain.
Binance Chief Compliance Officer Samuel Lim said that Zilliqa has been pushing for innovations.
“Binance was one of the first trading platforms to support its innovative staked seed node service. This time, we are working together to introduce BUSD to the Zilliqa chain, furthering the mission of providing greater interoperability and growing the blockchain industry.”
Amrit Kumar, President and Chief Scientific Officer at Zilliqa, added that they have always been fervent believers in the power of blockchain to create an open and interoperable financial ecosystem that is transparent and inclusive by design.
“This collaboration with Binance and Switcheo provides an unprecedented opportunity to pioneer the future of Open Finance for the region, with opportunities across trade finance, security token exchanges, and B2B cross-border settlements.”
Ivan Poon co-founder of Switcheo, said they were pleased to have the opportunity to work with Zilliqa and Binance in bridging the gap between blockchains.
BUSD is expected to go live on the Zilliqa chain in Q4 of 2020. The interoperability bridge remains under development.