Binance is launching a brand new “reward-bearing margin asset” LDUSDt, which the corporate says shouldn’t be a stablecoin.
In accordance to an April 9 announcement, LDUSDt could be obtained by swapping Tether’s USDt deposited within the agency’s Easy Earn yield product. Binance acknowledged that holders of LDUSDt will proceed to earn yield rewards by means of Easy Earn, even whereas utilizing the token for margin buying and selling.
This marks the second time Binance has launched a reward-bearing margin asset. Binance launched its first reward-bearing margin asset, BFUSD, in 2024. On the time of the launch, Binance had stepped in to clarify that “it is not a stablecoin” in response to person considerations and comparisons to the failed TerraUSD (UST) token.
In its newest announcement, Binance preemptively reiterated that LDUSDt shouldn’t be a stablecoin:
“LDUSDT shouldn’t be a stablecoin however a crypto asset that can be utilized as Futures buying and selling margin, whereas permitting customers to earn Easy Earn Actual-Time APR rewards.“
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A deeply built-in token
In accordance to Binance, LDUSDt can be utilized as a margin asset in multi-asset mode on the change’s futures platform. It additionally accrues real-time annual share yield rewards.
The precise launch time is but to be decided, with the announcement noting that it “might be out there on the Binance web site and app quickly.” A Binance spokesperson informed Cointelegraph:
“[LDUSDt] offers customers’ USDT extra utility by changing it right into a tradable asset for Futures, with out dropping entry to their ongoing rewards. When customers swap their subscribed USDT for LDUSDT, the funds are robotically moved into their Futures Pockets, the place they can be utilized as margin in Multi-Asset Mode.“
Binance had not responded to Cointelegraph’s questions relating to potential danger implications related to this method by the point of publication.
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Binance continues to dominate crypto markets
Binance stays the world’s largest cryptocurrency change by buying and selling quantity. According to CoinGecko, the platform processed greater than $16.5 billion in trades over a 24-hour interval. Bitget adopted with just below $5 billion in quantity.
Data supplied by the extra common however Binance-owned CoinMarketCap exhibits that $24.6 billion value of trades occurred on the change during the last 24 hours. The platform exhibits solely $3.84 billion value of trades on Bitget within the earlier 24 hours.
Regardless of ongoing authorized and regulatory challenges in a number of jurisdictions, Binance continues to develop its international affect. In accordance to latest stories, the agency’s former CEO, Changpeng “CZ” Zhao, will start advising the Kyrgyz Republic on blockchain and crypto-related regulation and tech after signing a memorandum of understanding with the nation’s overseas funding company.
In the meantime, present CEO Richard Teng stays within the highlight. In late March, Teng denied stories that Binance.US was in deal talks with entities affiliated with US President Donald Trump throughout a March 18 panel at Blockworks’ 2025 Digital Asset Summit in New York.
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Cointelegraph by Adrian Zmudzinski Binance to launch second reward-bearing margin asset LDUSDt cointelegraph.com 2025-04-09 14:46:45
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