Crypto exchange giant Binance discontinues its GBP stablecoin.

Crypto exchange giant Binance is discontinuing its GBP stablecoin, BGBP, which is tied 1:1 to the British pound as it shuts down Binance Jersey.

Crypto exchange giant Binance is ending its GBP stablecoin, BGBP, which is tied 1:1 to the British pound. The discontinuation takes place tomorrow, more than a year after Binance first listed the stablecoin in July last year. The crypto exchange giant is also delisting its last trading pair for BGBP — BGBP/USDC. A Binance spokesperson told the crypto news outlet The Block that BGBP was the exchange’s “first experiment” with a fiat-backed stablecoin and was “more of a proof-of-concept.” 

 

BGBP has a circulating supply of only about £700,000. 

Binance issued BGBP, unlike its USD counterpart BUSD, a white-label of Paxos’s stablecoin, and has a smoother redemption process than BGBP. There also appears to be a lack of demand for BGBP. The stablecoin has a circulating supply of only about £700,000, according to CoinMarketCap. For context, BUSD has a circulating supply of over $662 million. The other possible reason for the delisting of BGBP could be the closing of Binance Jersey later this month. The fiat-to-crypto exchange was the primary platform to buy the stablecoin. It is also worth noting that Binance’s BGBP announcement comes ahead of draft stablecoin regulations by the U.K. 

 

Binance CEO believes CBDCs could threaten bitcoin. 

As reported earlier, Changpeng Zhao, the enigmatic chief executive officer of Binance, believes a central bank digital currency that’s designed well enough could become a threat to the leading cryptocurrency Bitcoin. In a video interview with Fortune senior writer Jeff Roberts, Binance CEO was asked how the People’s Bank of China’s digital yuan initiative would affect the crypto industry. The CEO responded that any blockchain or digital currency would be good for the industry overall, legitimizing digital assets and broadening awareness. Binance CEO added that while there is currently a race between major countries to launch one, most CBDCs are likely to be more restrictive initially but will evolve. 

 

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Jai Pratap
Jai Pratap
A Mass Media Graduate who loves to write. Jai is also a sports enthusiast and a big movie buff. He loves to learn new things.

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