How BUSD Works
Like many other stablecoins, BUSD is 1:1 USD-denominated stablecoin, meaning that the fair market value of one BUSD is designed to follow the stability of one US dollar. BUSD is a digital-fiat currency that is issued as an ERC-20 token.
According to Paxos, “BUSD is 100% backed by reserves held in either or both (i) fiat cash in dedicated omnibus accounts at insured U.S. banks1 and/or (ii) U.S. Treasury bills (including through repurchase agreements and/or money-market funds invested in U.S. Treasury bills).”
BUSD can be purchased from numerous leading cryptocurrency exchanges.
