What BUSD is designed to do
BUSD is a fiat-backed stablecoin, currently ranked 301st by market capitalization among the assets we track. Unlike volatile crypto assets, BUSD targets a fixed value backed by off-chain reserves. Holders use it to park value, settle trades, and move money — its entire value proposition is that it does not move.
BUSD is a stablecoin backed by the US Dollar, maintaining a 1:1 peg to provide a secure and stable digital asset for transactions and trading. It is issued by Binance and aims to facilitate seamless transfers within the cryptocurrency ecosystem.
How the peg is meant to hold
A fiat-backed stablecoin holds its peg through redemption: if BUSD trades below its target, arbitrageurs buy it cheap and redeem at par, and vice versa. That arbitrage only works if redemption is real and reserves are sufficient.
BUSD is not mined; it is issued as a token rather than secured by its own mining or staking layer.
Background & fundamentals
BUSD operates under a centralized structure, which concentrates protocol decisions in an identifiable issuer or foundation. CoinPaprika classifies the project's development status as "Only token". In sector terms it is most often filed under Stablecoin, Ethereum (ETH) Token (ERC-20), and Binance Coin (BNB) Token (BEP-20).
Where BUSD sits in the market
With BUSD near $0.9996, BUSD carries a market capitalization of $68.19M. Around $980.73K changes hands across exchanges in a typical 24-hour window. That is a turnover of about 1.44% of the float — on the quieter side, which can mean thinner liquidity for large orders.
BUSD carries no fixed maximum supply; issuance follows a programmatic schedule rather than a hard cap. BUSD trades about -15% below its all-time high of $1.18, within reach of prior peaks. Measured from its all-time low of $0.7806, BUSD is up +28%.
What the price history shows
Across timeframes, BUSD shows 24-hour +0.05%, 30-day +0.40%, 1-year +0.40%. Within its 365-day range, BUSD sits around the middle (the 62nd percentile of recent daily closes).
Volatility profile
Recent action puts BUSD in the Low-volatility band — it has been relatively stable, with moves typical of large-cap, mature assets. Over the last 30 days the move totals +0.40%, a useful input for stop placement and position sizing.
How to evaluate a stablecoin like BUSD
A grounded read on BUSD comes down to three questions:
- Reserve quality — what backs BUSD — cash and short Treasuries are safer than commercial paper or crypto collateral — and who attests to it.
- Redemption access — whether holders can actually redeem at par, and how quickly, under stress.
- Regulatory standing — the issuer's jurisdiction and licensing, which increasingly determines which stablecoins survive at scale.
This page pulls live market data, on-chain stats where available, exchange-by-exchange volume, and our forecast model into one view so you can work through those questions in a single place. None of it is investment advice — it is a structured starting point for your own research.
