Rough day for all markets today, but we keep building.
— CZ Binance (@cz_binance) September 4, 2020
Following the release of the Binance Smart Chain, Binance has once again opened its doors to another profit-making opportunity for users. BSwap provides users with instant liquidity and cheaper fees through an automated market maker (AMM) system.
All liquidity providers can take leverage of the BSwap AMM liquidity pool which supports Binance USD (BUSD), Dai (DAI), and Tether (USDT).
With this new DeFi-inspired product, mainly to battle against the ongoing dominance of Uniswap, Binance allows its users to quickly complete a token exchange through the Swap Pool or become a liquidity provider by depositing their funds into the Liquidity Pool.
Now, those traders who add liquidity to the pool by adding their funds will earn fees generated by the pool transactions. In this manner, they can also enjoy interest incomes from crypto.
The Binance team has proudly stated that “with the launch of Binance BSwap, [they] are taking it one step further by encouraging more growth in the DeFi market,” yet Binance CEO Changpeng Zhao (CZ) reminded people of the risk that new sectors entail.
Not doing the “I told you so”, it’s just a repeated pattern in all markets and all industries.
New sectors are super risky. https://t.co/BAAWUhpvVF
— CZ Binance (@cz_binance) September 5, 2020
As CZ believes in the core concept of “staking coins to provide liquidity and earning a return,” the exchange has also unveiled today Launchpool, a new product where users can acquire new token rewards in return for staking Binance Coin (BNB), BUSD, and other tokens.
Indeed, Binance aims to be a showstopper in the field of merging CeFi and DeFi together as BSwap claims to be the first AMM liquidity platform to be built on top of a centralized exchange.
Moreover, the first project that will kickstart on Launchpool is Bella Protocol, a crypto wealth management suite that offers one-click crypto banking.