The cryptocurrency exchange Binance will allocate $100 million to support the decentralized finance (DeFi) ecosystem and ensure its interaction with centralized services (CeFi). This was announced at The World of DeFi summit by the company’s CEO, Changpeng Zhao.
The solution for DeFi-CeFi interaction is designed to provide synergies between the Binance Smart Chain (BSC) network and the centralized platform Binance.com.
It is envisaged that this will enable the following capabilities:
- The centralized exchange will integrate its users and assets into the BSC via a single account;
- Users will gain access to CeFi and DeFi products on the BSC through a single platform;
- DApps projects will be able to list on Binance.
According to the statement, holders of native BNB tokens will gain greater governance rights in the BSC and additional staking benefits.
Binance plans that the Token Canal bridge project will enable easy transfer of tokens across various blockchains to the BSC and vice versa. The solution is also intended to provide secure insured custody of assets and liquidity interaction on the exchange and the BSC.
The exchange intends to financially support the development of the Binance Chain ecosystem by creating an initial fund of $100 million. The initial investor and governance body will be the decentralized BSC community. Selected projects will be able to receive up to $100,000 in funding and seek a listing on Binance.
Earlier the exchange launched DeFi products such as the automated market maker Binance Liquid Swap and the Launchpool platform for growing new tokens.
Follow ForkLog news on Twitter!