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September 25, 2019

Flash Crash: Crypto Traders Buy Bitcoin (BTC) at $1,820 Using Binance Stablecoin

By Daily Hodl Staff

During Tuesday’s wild Bitcoin tumble, crypto traders managed to capitalize on a dramatic flash crash in Binance USD’s pair with Bitcoin.

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TradingView tracked the BTC/BUSD pair on Binance, which witnessed the price of BTC fall to $1,820 in an instant.

Source: TradingView

Binance launched the stablecoin on Friday in a partnership with Paxos.

The coin is designed to be pegged 1:1 with the US dollar and is initially available against BTC, BNB and XRP.

BUSD’s pair with Bitcoin has relatively low trading volume: $3.8 million over the last 24 hours, according to CoinMarketCap.

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Traders tracked the flash crash in real time during the crypto market’s sudden meltdown.

BUSD earned a stamp of approval from the New York State Department of Financial Services and can be traded on Binance.com.

It’s the second stablecoin launched by the leading crypto exchange. The first was Binance GBP (BGBP), which launched on Binance Jersey back in July.

Binance CEO Changpeng Zhao says the company is just getting started in the stablecoin business, with more pegged crypto assets in the pipeline.

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“We hope to launch more compliant stablecoins backed by fiat reserves in the future, introducing more stability to the cryptocurrency world.”

At time of writing, Binance has not commented on the flash crash.

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