Binance Labs, the investment arm of Binance, has announced its support for BounceBit. BounceBit is a protocol revolutionizing Bitcoin restaking and CeDeFi (Centralized-Decentralized Finance) innovations. This strategic investment aims to expand the utility of Bitcoin beyond its traditional role as a store of value.
We’ve invested in @bounce_bit!
BounceBit is building a BTC restaking CeDeFi infrastructure.
Read more👇https://t.co/jtJHI4jUBM
— Binance Labs Fund (@BinanceLabs) April 11, 2024
BounceBit’s Approach to Bitcoin Empowerment
At the heart of BounceBit’s approach is the belief that Bitcoin’s potential should be maximized without altering its core blockchain. By actively engaging
in network validation and various yield-generating activities, BounceBit transforms Bitcoin from a passive asset to a dynamic force within the ecosystem.
The protocol achieves this by implementing strategies like funding rate arbitrage and issuing on-chain certificates for restaking and mining. By seamlessly integrating the best aspects of centralized finance (CeFi) and decentralized finance (DeFi), BounceBit aims to unlock new opportunities for Bitcoin, enabling enhanced yield generation and applications.
Led by a team with expertise in decentralized finance, traditional finance, and Layer 1 blockchain technology, BounceBit prioritizes security and transparency in its operations. The protocol employs regulated custody and Multi-Party Computation (MPC) techniques to ensure the safety of user assets.
Moreover, BounceBit collaborates with Ceffu’s Mirror X and off-exchange settlement (OES) solutions to minimize counterparty risks. One of BounceBit’s key innovations is its unique Proof of Stake (PoS) Layer 1 ecosystem. This ecosystem incentivizes validators to stake both BounceBit tokens and BTC, creating a dual-token system aimed at enhancing network security and amplifying the value and utility of BTC.
Managements Response to this Advancement
Yi He, Co-Founder of Binance and Head of Binance Labs, remarked on this investment. He expressed that BounceBit opened new avenues for Bitcoin’s utilization through the fusion of CeFi and DeFi. He mentioned that at Binance Labs, they were constantly seeking innovators shaping the industry and expressed anticipation of observing their growth.
Jack Lu, Founder & CEO of BounceBit, conveyed gratitude for the support from Binance Labs. He mentioned that it was their mission to construct restaking infrastructure to boost the utilization of Bitcoin. He added that their focus on CeDeFi and the development of a resilient restaking ecosystem marked just the beginning of their efforts.
With Binance Labs’ backing, BounceBit is poised to spearhead innovations in Bitcoin restaking and CeDeFi, opening up new possibilities for the world’s leading cryptocurrency.