How to Buy Binance USD
Binance USD Price in USD: Convert to US Dollar
What is Binance USD
Binance USD (BUSD) is a USD-backed stablecoin launched in partnership with Paxos and Binance. The coin is approved by New York State Department of Financial Services (NYDFS).
Like many other stablecoins, BUSD was created to provide simple transactions in the decentralized finance (DeFi) ecosystem. It complies with ERC-20 and BEP-2 standards and is compatible with multiple blockchains (Ethereum, BNB Smart Chain (BEP20), Avalanche C-Chain, etc.).
As mentioned earlier, an amount equal to the actual BUSD supply is held by Paxos. The company acts as a third-party reserve in an FDIC-insured US bank. Therefore, the equivalent of each BUSD owned by the user is stored in a real bank account.
BUSD is subject to the same market fluctuations as its fiat counterpart: when the value of the dollar rises or falls, so does the BUSD token.
Where to buy Binance USD
There are many ways to buy BUSD: on exchanges, through payment systems, banks like Revolut, on p2p-platforms and so on. It is most profitable to buy cryptocurrency on the exchange. This way has following benefits:
- Favorable exchange rate;
- High liquidity;
- The possibility to buy coin by fiat money from a payment card;
Instructions for buying Binance USD
The detailed instructions for buying Binance USD include the 5 steps below.
Decide on the risk level
Investing in cryptocurrencies is always risky. It is necessary to understand the best way to manage risk and follow the rules that will help reduce losses. First of all, you need to avoid investing money that you may need in the near future. If you can’t afford to lose some money – then you can’t afford to invest it in risky assets.
Choose a crypto exchange
The process of buying cryptocurrency on all exchanges is approximately the same. However, exchanges differ in such parameters as verification, deposit and withdrawal methods, commissions, trading pairs, user reviews, etc. It is important to consider these points when choosing a trading platform.
The list of the most popular exchanges for buying BUSD is presented in the table.
Register an account
The Editors’ Choice for buying BUSD is the world’s largest exchange by trading volume – Binance (but users can choose any trading platform).
To trade on an exchange, including Binance, new user must register an account. For this:
- Open Binance Official Site;
- Click on Register in the top right corner;
- Select country of residence → Create Personal Account;
- Enter email address, create complicated password, click Next;
- Pass verifing process. To do this enter in the appropriate form the activation code that will be sent to your e-mail and then the code received on your phone.
After all the steps have been passed, the account will be registered and you will allow to start working with the exchange.
Top up your account
The methods of replenishing an account depend on the specific exchange, as well as on which currency pair the desired coin is traded in. For example, on Binance, BUSD is traded in pair with cryptocurrencies BRL, DAI, USDT, etc., and with fiat currencies like TRY and UAN.
For example, let’s replenish the account in USDT. For this:
- Log into your personal account;
- Click Wallet → Fiat and Spot in the top right corner;
- Select USDT as deposit coin and press Deposit;
- Select network to transfer;
- Copy the Binance address and paste it into the address field in the wallet from which the cryptocurrency will be withdrawn;
- Check that the money has been transfer to your Binance account.
Buy Binance USD (BUSD)
After replenishing the deposit, you can buy cryptocurrency. To buy BUSD on the Binance Spot market:
- Click Trade → Spot in your account;
- Select the trading pair BUSD/USDT;
- Specify order type, for example, Market;
- Enter amount of USDT to buy BUSD;
- Click Buy BUSD.
How to sell Binance USD
To sell BUSD, you need to follow the same steps but to fill out the form on the right and click Sell BUSD button.
Where to store BUSD
You can store BUSD at any wallet that accept that coin. The simpliest way to store coins relatively safely is on Binance account, but you surely can choose any third party application that accepts BUSD.
The choice of storage depends on the goals and objectives of the user. If it is expected that the coins will be needed for active trading, then it is better to use a “hot” mobile wallet. The best mobile wallets for storing BUSD include:
- MyEtherWallet: The open source platform allows you to create wallets, interact with smart contracts and so on. Supports all types of Ethereum tokens, including Binance USD;
- MetaMask: available as a browser extension and mobile version, allows transactions and interacting with DApps and smart contracts, as well as connect to various blockchain networks;
- Exodus Wallet: mobile and desktop wallet. Compatible with ERC-20 tokens. Basic operations with 225+ cryptocurrencies. Could be connected to hardware wallets;
- Trust Wallet: hot mobile crypto wallet. Supports a lot of cryptocurrencies including Bitcoin, Ethereum and Binance USD. The Web3 browser allows you to interact with decentralized applications (DApps). You can send BUSD via the ERC20, BEP20 or BEP2 networks.
Mobile wallets are more convenient due to their portability and option to scan QR-codes for fast crypto transactions and other actions.
If the wallet is needed for long-term storage, it is better to use “cold” storage. This type of wallets is safely protect the user’s private keys. Ledger is one of the most secure wallet on the market. You can carry the wallet with you and it supports a large number of cryptocurrencies for storage.
How can I withdraw Binance USD to my wallet?
- Open your Binance account;
- Select Wallet → Fiat and Spot;
- Select BUSD and click Withdraw;
- Specify the transfer network, for example, BNB (make sure that the networks on the exchange and in the receiving wallet match);
- Copy wallet address for BUSD transfering: open a crypto wallet to where coins will be withdrawn, for example, Trust Wallet;
- Select BUSD in the wallet;
- Click Receive tab. System will display address and QR-code;
- Copy this address and paste it in the Address fiels on the exchange (or scan the QR-code) → confirm the transaction;
- Check if there is a cryptocurrency in your wallet.
Advantages of buying cryptocurrency on the exchange: favorable rate, high liquidity, different payment methods, the possiblity to buy crypto by card for fiat money, etc.
- Visit the project site;
- Read white paper;
- Explore social media channels;
- Review project team and partnerships;
- Evaluate the market performance of the cryptocurrency;
- Study the price history;
- Determine if the cryptocurrency has practical use or solve any problem.
If it is difficult, you can rely on opinions of experts and analysts.
- Crypto trading on Binance;
- Crypto asset volatility insurance;
- Use wherever ERC-20 tokens are accepted for trading, credit, payments, etc.