Binance Earn introduces RWUSD to broaden financial opportunities for its users
Binance, the global cryptocurrency exchange, has launched a new product called RWUSD as part of its Binance Earn lineup. This wrapped tokenization of real-world assets provides institutional investors with access to capital-efficient, yield-bearing, and on-chain stablecoin assets backed by real assets such as U.S. Treasury bills and other collateral.
RWUSD functions as a tokenized version of these real-world assets, designed to be used on Binance’s blockchain infrastructure and trading platform. This allows users to leverage the benefits of blockchain technology, such as 24/7 availability, faster settlement, and transparency, while maintaining asset stability and regulatory compliance.
Key features of RWUSD include:
- Real-World Asset Backing: RWUSD is fully backed by real-world assets, such as U.S. Treasury securities, which provides underlying stability and reduces volatility compared to typical stablecoins pegged only to fiat currency.
- Wrapped Token Structure: As a wrapped token, RWUSD represents ownership of a real-world asset held off-chain or in custody. This structure allows the token to be used seamlessly within the cryptocurrency ecosystem, enabling trading, collateralization, and yield accrual on-chain.
- Integration with Institutional Infrastructure: RWUSD is integrated with Binance’s Banking Triparty platform and custodial partners like Ceffu. This integration allows institutional clients to use RWUSD as off-exchange collateral while maintaining access to Binance’s trading infrastructure, enhancing capital efficiency and risk management.
- Yield-Generating: RWUSD and similar tokens provide yield to holders through the returns generated from the underlying assets, offering institutional investors a way to earn income on USD holdings within the blockchain ecosystem.
- Regulatory Compliance and Institutional Focus: RWUSD is designed with compliance and suitability for institutional investment in mind, offering options that meet risk controls and regulatory requirements for professional investors.
- Bridging Traditional and Crypto Finance: RWUSD helps bridge traditional finance and decentralized blockchain markets, providing a gateway for institutions to leverage blockchain technology without the typical volatility or counterparty risks associated with digital-native assets.
Users can swap their USDT or USDC for RWUSD tokens at a 1:1 rate. Every day, RWUSD earns rewards, which are added back to the user's Spot Account as more RWUSD. Users have two redemption options: Fast Redemption (with a 0.1% fee and some free redemptions each month) or Standard Redemption (with a 0.05% fee and a three-business-day waiting period).
RWUSD tracks what users have subscribed and the rewards they've earned, and is not a tradable token outside Binance. The token has high subscription limits, allowing users to put up to $5 million to work. RWUSD taps into real-world assets, such as tokenized U.S. Treasury bills, to smooth out crypto volatility and keep yields attractive.
In summary, Binance’s RWUSD is a wrapped, tokenized stablecoin pegged to USD with real-world asset backing, designed to optimize capital efficiency, provide yield, and offer secure, compliant asset tokenization primarily for institutional use within Binance’s ecosystem.
Institutional investors can now invest in a yield-bearing, stablecoin asset known as RWUSD, which is a tokenized version of real-world assets like U.S. Treasury bills, on Binance's trading platform. This token, part of Binance Earn's product lineup, offers a wrapped token structure that allows seamless integration in the cryptocurrency ecosystem, promoting features such as 24/7 availability, faster settlement, and transparency.
