Bitcoin BEP2 (BTCB) is a token on the Binance Chain pegged to the value of real bitcoin. The asset is available for trading on the Binance DEX cryptocurrency exchange, which supports BEP-2 tokens. On the main Bitcoin exchange, BEP2 is fully backed by the original BTC. In addition to BTCB, launched in 2019, the exchange has released a number of other “wrapped” in-demand coins on its own blockchain. The editorial staff of Btcnewsweb.com reviewed the Bitcoin BEP2 cryptocurrency and its main features.
BTCB token price to USD
|Name||Price||Market Cap||Supply||Change % (7D)||Performance|
BTCB to USD chart
|Current issue as of 19.04.21||54 598 BTCB|
|Course on 04/19/21||57 081 $|
|Capitalization on 04/19/21||3 417 750 431 $|
|Social networks||https://vk.com/binance, |
Benefits of Binance Chain and the BEP-2 Standard
Binance became the world’s leading crypto exchange in less than a year after its founding, so it’s no surprise that CEO Changpeng Zhao (CZ) soon set more global goals than just a trading platform.
On April 18, 2019, the mine-net Binance Chain was launched; CZ stated that Binance is set to become one of the largest decentralized blockchain institutions in the world. The new blockchain infrastructure, based on Tendermint technology and in particular the Cosmos SDK, is designed to improve performance, liquidity, and ease of use. With the help of this technological base, the chain was able to achieve sufficient interoperability and decentralization in a short time.
BEP-2 (Binance Chain Evolution Proposal 2) is a set of token governance rules and criteria that all tokens in the Binance chain must meet in order to be able to transfer value. It is observed that gradually many of the assets are creating their tokenized counterparts on Binance Chain, moving from Ethereum, Neo and other chains. To benefit from the speed, security, and transactional performance of this chain, a pegged version of Bitcoin has been released in BEP-2 format. Today, this blockchain is already considered one of the most popular and supports several hundred assets.
Binance Chain uses a combination of pBFT (Practical Byzantine Fault Tolerance) and Delegated Proof of Stake (DPoS) to determine which user will create a block. Compared to Bitcoin, which uses a proof of work (PoW) mechanism, this technology is a much more economical alternative in terms of electricity costs. The Tendermint consensus algorithm, according to many blockchain developers, helps to eliminate the shortcomings of popular chains, for example, the poor scalability of Bitcoin. Verifying a transaction does not require consent from all nodes on the network, and this greatly reduces the computational requirements.
Finally, the transfer of assets to the Binance Chain makes them easier to use in Decentralized Finance (DeFi) applications. For the original Bitcoin, there are practically no DeFi applications due to slow transactions and high fees. Meanwhile, the owners of BTC would also like to use their assets for work, and not just hold them.
Features and working principle of BTCB
BTCB is 100% backed by Bitcoin in reserve. The audit of this reserve is available to everyone in a simple form, much easier than when it comes to audits of traditional financial systems.
The main advantages of pegged tokens:
- With the launch of BTCB, Binance DEX traders were able to trade Bitcoin even though it is hosted on a different blockchain.
- The usefulness of the exchange is increased by expanding the range of available assets and increasing liquidity.
- According to some experts, this approach is easier to learn and understand than atomic swaps.
- Millions of users trust Binance and are willing to deposit their bitcoins on this platform to gain access to faster and more efficient BTCB.
- Like any blockchain, Binance Chain provides a high degree of transparency, giving anyone the ability to check reserves at their own convenience.
- Binance actively supports developers wishing to transfer their assets to their blockchain, and makes the technical implementation of this process as easy and fast as possible.
The address where you can track reserves for BTCB: https://btc.com/3LYJfcfHPXYJreMsASk2jkn69LWEYKzexb
Where to buy and store BTCB
Bitcoin BEP2 (BTCB) can be bought or sold on the Binance DEX decentralized cryptocurrency exchange. To connect to the site and start working with it, you will need to install the browser wallet Binance Chain Wallet or Trust Wallet. It is also convenient to store coins in it.
The Bitcoin BEP2 (BTCB) cryptocurrency is currently traded in pairs with ANKR, BNB, BOLT, COS. The functionality for creating orders is in the lower right corner. All transactions are performed on a decentralized basis, that is, directly between users’ wallets. When trading, assets will be debited from the balance of the connected wallet and transferred to it.
Bitcoin tokenization on different blockchains is a very popular topic now. For example, the WBTC (Wrapped Bitcoin) project is successfully operating in the Ethereum chain. This is due to the fact that the original bitcoin is very poorly suited to work with DeFi. Slow transactions, high fees, the inconvenience of creating smart contracts – all this forces developers to look for workarounds. Bitcoin BEP2 is a Bitcoin powered by the Binance Chain blockchain. Its price is always as close as possible to the price of the underlying asset, and in addition, each BTCB is backed by actual BTC, which is easy to check using the block explorer.