Binance Launches Platform Allowing Users Farm Crypto Assets

Binance is strengthening its offering of decentralized finance-styled (DeFi) services with the launch of a new platform that will allow users to securely farm new assets and receive rewards for stalking.

Announced on Sunday, the platform is called Launchpool, and the first project to be hosted on it is Bella Protocol (BEL). Stalking can be done with “BNB, BUSD, and other tokens.”

The exchange detailed that users will be able to stake BNB, BUSD, or ARPA tokens from September 9 into three separate pools to farm BEL tokens for over 30 days.

“Staked BNB, BUSD, and ARPA balances will be recorded each hour for 30 days after the staking period begins to get an average daily staking balance for each day,” the exchange explained. “Rewards allocated to each pool will be split evenly every day over the 30 day period.”

Bella Protocol is offering a DeFi aggregator and is aiming to make its services user-friendly and is also offering an asset management platform with very low transaction fees. The project recently raised $4 million in a seed funding round and is backed by Alphabit, Consensus Labs, and Force Partners, among others.

Along with the addition of the BEL token to the farming platform, Binance is also listing the token at its spot exchange against Bitcoin, Binance Coin, BUSD, and Tether on September 16 at 6 am (UTC).

Centralized exchanges are doubling down on DeFi

As the DeFi ecosystem is booming, the centralized platforms are expanding their services to ride on that ongoing frenzy. Binance CEO Changpeng Zhao recently admitted the risks associated with the DeFi tokens, but also pointed out the exchange’s compulsion to list them.

“If we don’t list new (decentralized finance) DeFi coins, traffic goes to other exchanges, and we become … obsolete. We provide access to liquidity, we don’t force you to buy. All coins are high risk, especially DeFi,” Zhao wrote on Twitter.

He, however, took down his tweet after receiving backlash on this from crypto twitter.

Binance also launched an automated market maker (AMM) linking it to its centralized exchange, allowing liquidity providers to earn interest and income on trading fees.