Binance today announced its plans to initiate an open blockchain project, Venus, an initiative to develop localized stablecoins and digital assets pegged to fiat currencies across the globe.
In the Chinese version of the announcement, which was released earlier than the English version, Binance refers to Venus as “an independent “regional version of Libra,” and explains its motivation for wanting to launch Venus:
- “in the past, the company has actively communicated with the regulatory authorities in many countries and regions around the world to establish a global, multi-dimensional customer network and compliance system”;
- “as the world’s top blockchain enterprise, the company has already reserved the public chain technology and cross-border payment system for safe operation of new stable coins”; and
- Binance hopes “to realize an ideal, that is, to break the financial hegemony, reshape the world financial system, let the late-developing countries grasp more financial initiative, safeguard their financial security, and improve the efficiency of cooperation between the state and the country and between people.”
In the English version of the announcement, Binance says that it is “looking to create new alliances and partnerships with governments, corporations, technology companies, and other cryptocurrency companies and projects involved in the larger blockchain ecosystem, to empower developed and developing countries to spur new currencies.”
Binance plans to launch these new stablecoins on its own blockchain, Binance Chain, which has already “issued a range of stablecoins, including a BTC-pegged stablecoin (BTCB) and the Binance BGBP Stable Coin (BGBP) pegged to the British Pound.”
Binance will be providing “full-process technical support, compliance risk control system and multi-dimensional cooperation network to build Venus, leveraging its existing infrastructure and regulatory establishments.”
Binance Co-Founder, Yi He, told The Block:
We believe that in the near and long term, stablecoins will progressively replace traditional fiat currencies in countries around the world, and bring a new and balanced standard of the digital economy.
As for the Binance CEO, this is what he said about Venus on Twitter:
Pushing adoption, yes. Domination, no. Always happy to co-exist.
In fact, this should help Libra, if you think about it. Will leave it at that. https://t.co/HLSywLb2mi
— CZ Binance (@cz_binance) August 19, 2019
Dovey Wan, a Founding Partner of blockchain-focused venture investment firm Primitive Ventures, had this to say about today’s announcement:
My general feeling is this will be another push for BinanceChain adoption, which makes sense – what else can be more bullish than official digital fiat issuance on BinanceChain?
Secure the fiat on BinanceChain, then pump $BNB 👌🏻👌🏻
— Dovey Wan 🗝 🦖 (@DoveyWan) August 19, 2019
Wan also provided another quote from the Binance co-founder:
Cofounder of Binance .@heyibinance said “Venus” is the “One-belt-one-road version of Libra”
Totally nailed it 💯💯💯 pic.twitter.com/RqfaPH8zE1
— Dovey Wan 🗝 🦖 (@DoveyWan) August 19, 2019
Today’s news seems to have helped Binance (BNB), which is the native token of Binance Chain. According to CryptoCompare, at press time (12:22 UTC), BNB is trading at $28.97, up 4.74% in the past 24-hour period:
Featured Image Courtesy of Binance