On March 10, the Binance Dollar's (BUSD) market cap crossed the $100 million mark. This is the first time that the stable coin, created in partnership betwixt Binance and Paxos Trust company, has achieved this milestone.

BUSD growth

Currently, BUSD has the 6th highest market cap amongst stable coins. BUSD had a slow start, but has picked upward steam (no pun intended) recently ‒ with a 400% monthly growth, going from $22 one thousand thousand to $115 million in market cap.

Binance CEO Changpeng Zhao believes this growth will continue due to the ever-increasing utility of the stable coin:

"We are looking forward to seeing more utility through the power of stable digital avails and serving our role with BUSD, a NYDFS-canonical USD-based stablecoin."

BUSD Market Cap (Data: Coinmarketcap)

Binance users can earn up to fifteen% annual interest on their BUSD holdings by participating in the platform'due south lending programme. Binance is not unique in offer interest on its stable coin, however. Coinbase too offers involvement on USDC, albeit at a more than pocket-size 1.25% annual per centum yield.

There are besides a slew of companies offering interest on crypto deposits, similar Celsius Network, Nexo, and BlockFi. With the contempo emergence of DeFi, contest in this space is probable to proliferate.

Despite its meteoric rise, BUSD is still far behind the market leader, Tether (USDT), whose market cap exceeds $four.v billion. This may seem like an insurmountable lead, just at the current step, it would have less than 2.5 months for BUSD to catch up.