Binance can now mine liquidity too
Cryptocurrency exchange Binance announced the launch of a new service
Users will be able to earn interest on their coins and receive income from transactions
The exchange is actively delving into the DeFi industry
International consortium of news organizations developing transparency standards.
The world’s largest cryptocurrency exchange by trading volume Binance launches Binance Liquid Swap, a new automated market making service.
Binance Mining Pool, now mine with 0 fee – CRYPTOVEL
Binance Liquid Swap is an Automatic Market Maker (AMM) that allows platform users to deposit their coins into a pool to generate liquidity and earn interest. In addition, they will receive income from trading commissions for trades that use Binance Liquid Swap funds, the company said in a press release..
How Binance Liquid Swap Works
Basically, pool members act as liquidity providers, thereby ensuring price stability and low transaction fees, regardless of size. Users are promised a reward of 12% to 15% per annum (APY), for this they need to place funds in the pool for a period of at least seven days. Currently, the platform supports USDT / BUSD (APY 15%), BUSD / DAI (APY 14%) and USDT / DAI (APY 12%), while all coins placed on the platform are automatically converted into two cryptoassets from the pool.
The transaction fee and exchange rate between cryptoassets in the pool on Binance Liquid Swap depends on how many coins are placed there.In other words, by adding or removing coins from the pool, traders can influence its value, as well as the cost of transactions.
Commenting on the news, Binance CEO Changpeng Zhao (CZ) said:
“We look forward to further growth in the DeFi market. Decentralized Finance (DeFi) is a financial services built on blockchain technology that offer users access to an open, efficient and … More, we strive to provide our users with as many opportunities to earn money as possible with using the liquidity of a centralized AMM pool, whose security and reliability is ensured by Binance. – With the help of Binance Liquid Swap, we plan to drive further growth in the DeFi market. Instant exchange will allow retail users to provide liquidity, the need for which is growing as DeFi products attract more volume and number of participants. This kind of incentive pool will benefit the community as it is created by the community itself. “.
Binance Goes Deeper into DeFi
The crypto exchange is actively listing new DeFi tokens, many of them with a dubious reputation. Earlier, the editorial staff of BeInCrypto announced that it is now possible to trade on the platform such notorious coins as SushiSwap (SUSHI) and yffi finance (YFFI). Many users criticize this strategy as destructive and irresponsible..
It is noteworthy that the head of the exchange himself recently criticized the riotous release of clones in the DeFi industry..
All information contained on our website is published in good faith and objectivity, and for informational purposes only. The reader is solely responsible for any actions he takes based on the information received on our website..