1. BITBILIHome
  2. Article

Binance Labs invests $10 million in Helio Protocol

• 229 views

TL;DR Breakdown

  • Binance Labs has announced a $10 million investment into Helio Protocol.
  • Helio protocol to make a strategic transition to liquidity staking.

Description

Binance Labs, the venture arm of cryptocurrency exchange Binance, has made a substantial investment of $10 million into Helio Protocol, a move aimed at supporting Helio’s transition into a liquid staking platform. While currently operating on the proof-of-stake network BNB Chain, this funding will enable Helio to extend its presence to other blockchain networks. The … Read more

Binance Labs, the venture arm of cryptocurrency exchange Binance, has made a substantial investment of $10 million into Helio Protocol, a move aimed at supporting Helio’s transition into a liquid staking platform. While currently operating on the proof-of-stake network BNB Chain, this funding will enable Helio to extend its presence to other blockchain networks. The platform’s ambitions include launching on Ethereum, along with notable Layer 2 networks like Arbitrum and Zksync, as confirmed by a Binance Labs representative.

Binance Labs funds Helio’s transition to liquid staking

The shift towards becoming a player in the liquid staking sector marks a recent strategic direction for Helio. Liquid staking involves staking tokens on a network and receiving a different token that represents the staked position. These liquid staking tokens (LSTs) can be utilized in the decentralized finance (DeFi) ecosystem. For instance, a prominent staking platform on Ethereum, Lido Finance, provides users with Staked Ethereum (stETH) in exchange for depositing ETH with the protocol.

Binance Labs expressed its optimism for the liquid staking landscape, highlighting the emergence of liquid staking derivative finance (LSDfi) protocols, which offer new avenues for yield-seeking LST holders. These protocols have experienced rapid growth in total value locked (TVL) over recent months. By creating more use cases for liquid staking tokens, LSDfi protocols could incentivize increased staking participation, ultimately promoting higher capital efficiency.

Before its pivot, Helio was primarily focused on stablecoin minting services, allowing users to mint HAY, a dollar-pegged decentralized stablecoin. This process involved over-collateralizing BNB tokens. This concept aligns with the functionality of Maker’s DAI and Aave’s GHO stablecoin. Helio’s recent developments include a merger with staking provider Synclub in July. Moreover, the platform diversified its collateral, moving beyond relying solely on BNB.

Exploring the potential of Helio’s liquid staking

Synclub, the second-largest staking provider for the BNB Chain, holds over 1 million BNB tokens. In the context of this evolution, Helio introduced a mechanism where BNB deposits are seamlessly converted into a basket of LSTs like AnkrBNB, snBNB, BNBx, and stkBNB. While account balances remain denominated in BNB, users can opt to withdraw any of the aforementioned LSTs.

In terms of performance, Helio Protocol has become the thirteenth largest DeFi protocol on the BNB Chain. The platform boasts 11,000 HAY holders who collectively contribute $300 million in total value locked. Notably, $260 million of this amount is staked in Synclub’s validator node, solidifying its position as the second-largest validator on the BNB Chain. The collaboration between Binance Labs and Helio Protocol signifies growing interest in the potential of liquid staking.

With its ability to provide additional utility to staked tokens, this innovative approach has gained traction, with various protocols exploring its possibilities. As the DeFi space continues to evolve, the expansion of liquid staking to new chains and networks could play a pivotal role in driving further growth and participation in the broader ecosystem.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

文章来源于互联网:Binance Labs invests $10 million in Helio Protocol

Disclaimers:

1. You are solely responsible for your investment decisions and this info is not liable for any losses you may incur.

2. The copyright of this article belongs to the writer, it represents the writer's opinions only, not represents the site's ones. Not financial advice.

Previous 2023年8月12日 00:09
Next 2023年8月12日 01:16

Related articles

  • White House joins forces with tech giants to combat cyber threats

    TL;DR Breakdown The White House partners with tech giants including Amazon, Google, and Best Buy to boost cybersecurity. The initiative involves a new certification program, with a “U.S. Cyber Trust Mark” logo indicating less vulnerable devices. This program, aiming to secure economic and national security, is set to launch in 2024. Description As a potent move to secure digital frontiers, the White House has forged a crucial partnership with various tech giants like Amazon, Google, and Best Buy. This coalition aims to create a defense mechanism against the escalating cyber threats that continue to impede America’s digital stability. It will involve rolling out a unique initiative that … Read more As a potent move to secure digital frontiers, the White House has forged a crucial partnership with various tech giants like Amazon, Google, and Best Buy. This coalition aims to create a defense mechanism against the escalating cyber threats that continue to impede America’s digital stability. It will involve rolling out a unique initiative that enables Americans to recognize gadgets that pose a lesser risk to cyber-attacks. White House bolstering…

    Article 2023年7月19日

  • Regulator lauds resilience of EU banks – Reason?

    TL;DR Breakdown EU’s top banking authority declares most major banks resilient, even in worst-case scenarios. EBA’s stress tests find only 3 out of 70 banks might struggle with capital levels in a severe crisis. Despite potential massive losses over three years, EU banks stand robust. Description According to a recent declaration by the European Union’s principal banking authority, the vast majority of the bloc’s major financial institutions would be impervious to capital increases, even when faced with an absolute worst-case scenario. This strong affirmation follows extensive stress testing, revealing the extraordinary resilience of EU banks more than ten years after the … Read more According to a recent declaration by the European Union’s principal banking authority, the vast majority of the bloc’s major financial institutions would be impervious to capital increases, even when faced with an absolute worst-case scenario. This strong affirmation follows extensive stress testing, revealing the extraordinary resilience of EU banks more than ten years after the global financial crisis. The findings The latest round of stress tests, conducted by the European Banking Authority (EBA), aimed to ascertain…

    Article 2023年7月29日

  • Bittrex slapped with jaw-dropping $24M fine by SEC

    TL;DR Breakdown The SEC, in an official announcement on August 10th, stated that both Bittrex and Bittrex Global, its associated entity, have consented to a substantial settlement totaling $24 million to resolve the legal dispute with the federal regulatory body. The SEC has accused the platform of collaborating with token issuers over an extended period, with the intention of removing any indications that the tokens they offered could be classified as investment contracts.  The formal complaint lodged by the SEC back in April put forward allegations that Bittrex, under the leadership of Shihara, effectively ran an unregistered national securities exchange.  Description The United States Securities and Exchange Commission (SEC) has recently revealed an agreement reached with the prominent cryptocurrency trading platform Bittrex, as well as its co-founder and former CEO, William Shihara. This agreement comes as a response to allegations of operating an unregistered exchange, a violation of federal regulations. The SEC, in an official announcement … Read more The United States Securities and Exchange Commission (SEC) has recently revealed an agreement reached with the prominent cryptocurrency trading platform Bittrex,…

    Article 2023年8月11日

  • Cardano price analysis: ADA breaks below $0.3600 as bears persist

    TL;DR Breakdown Cardano price analysis shows a decrease in price action. ADA is trading at $0.3572 down by 1.42 percent. Immediate support for ADA is seen at the $0.3557 mark The recent Cardano price analysis shows a bearish trend in the market as ADA breaks below $0.3600 after several days of a downtrend trading pattern. The bears have taken control of the market and have pushed prices lower. The price has declined by 1.42 percent since yesterday with a current trading price of $0.3572. The immediate support for ADA is seen at the $0.3557 mark, while resistance is at the $0.3649 level. The support level is likely to be tested as the bears persist in pushing prices lower. If the price falls below this support, we can expect further declines and a test of the $0.3500 level. The resistance level is likely to remain strong, however, and it will take a strong bullish move for ADA prices to break above this level and key resistance points. Both the market cap and trading volume have faced a major hit as a…

    Article 2023年5月27日

  • EAEU urges BRICS and SCO for joint digital currency use

    TL;DR Breakdown The Eurasian Economic Commission (EEC) Chairman, Mikhail Myasnikovich, has proposed that the BRICS nations, the Shanghai Cooperation Organization (SCO), and the Eurasian Economic Union (EAEU) adopt joint policies regarding digital currencies and develop a common payment card system. Myasnikovich’s call for collaboration was made during the second Eurasian Economic Forum in Moscow, underlining the growing importance of digital currencies in the global financial landscape. This proposal aligns with a broader trend among these nations towards increasing the use of national currencies for settlements, with nearly 80% of settlements within the EAEU already conducted using national currencies. In a strategic move aimed at furthering economic integration, Mikhail Myasnikovich, the Chairman of the Board of the Eurasian Economic Commission (EEC), has urged the BRICS nations, the Shanghai Cooperation Organization (SCO), and the Eurasian Economic Union (EAEU) to embrace the potential of digital currencies. Speaking at the second Eurasian Economic Forum in Moscow, Myasnikovich proposed a collaborative approach towards the use of digital currencies and the establishment of a unified payment card system. A common digital payment system: The next step…

    Article 2023年5月30日
TOP