The main cryptocurrency exchange Binance plans to use a bridge between the Syscoin and Ethereum blockchains to move their stable Binance USD (BUSD) currency between them.
The bridge developed by Blockchain Foundry, the company behind the Syscoin blockchain, enables BUSD holders to move their tokens between Ethereum and Syscoin blockchains. This will also make stablecoin available on the Syscoin blockchain for the first time.
Binance said: “Users can take advantage of fast, scalable and affordable syscoin transactions while taking advantage of Ethereum’s intelligent contract functionality. It also helps to provide more use cases for users with BUSD. “
Exemption from rising Ethereum fees
The increasing use of decentralized financial services and stable currencies has caused Ethereum’s transaction fees to rise to a maximum of two years. The co-founder of Ethereum, Vitalik Buterin, commented on the current topic yesterday and warned against it Increasing transaction fees could affect network security.
Jagdeep Sidhu, co-founder of Syscoin and a leading core developer, believes that stablecoins are increasingly being used as a quick way to transfer value through blockchains. Interestingly, at the end of May, Buterin referred to the same use case and explained:
“In the particular case of stable currencies supported by issuers, there are many things that could be done but cannot be done, for example Every stable coin could immediately be a bridge! ” Looking to the future, Sidhu said that Syscoin is also “exploring opportunities for integration with other blockchains” and that specific discussions on the subject are already underway:
Ethereum was an obvious first choice due to its nature as a proven smart contract platform and the urgent need for the benefits Syscoin can offer its network, including scalability. Future integrations are carefully selected based on the benefits they add to the ecosystem and how they can benefit users like Binance. “