Leading digital currency exchange Binance has announced the launch of Binance Launchpool. This is a new initiative that would enable its users to earn income by staking tokens for yield farming.
Bella Protocol (BEL), according to the announcement, is the first project to be hosted on Binance’s new Launchpool platform. The project would enable users to stake BNB, BUSD, and ARPA tokens into three pools to farm BEL tokens.
— Binance (@binance) September 6, 2020
Notably, the Binance Launchpool platform was created in view of the crypto exchange’s recent dive into decentralized finance (DeFi) products. Since DeFi is gaining new momentum and currently creating waves in the crypto community, Binance has noted it intends to increase its relevance in the space.
Changpeng Zhao, the founder and CEO of Binance, has noted the innovative potential of DeFi and its growing adoption by the crypto community. CZ said in an interview that centralized exchanges, such as Binance, are still the main choice by crypto enthusiasts. However, he did add that decentralized exchanges were the future, which is why Binance is ready to offer users the opportunity to utilize their features.
Notably, DeFi involves digital assets and financial smart contracts, protocols, and dApps created in a decentralized environment (the Ethereum blockchain) that is further away from centralized or government control. Staking involves committing funds as collateral onto an existing protocol in a bid to increase the liquidity of a project and gain voting rights to help decide on governance issues.
Bella Protocol to offer users better access to DeFi products
Bella Protocol, via an official blog post, disclosed that it aimed at improving the crypto user’s DeFi experience. According to the platform, Binance users can stake their BNB, BUSD, or ARPA tokens into three separate pools.
Additionally, over the next 30 days, users will be eligible to receive part of five million BEL tokens up for grab. This amount, notably, represents 5% of the total supply.
Also, Bella Protocol disclosed, that on September 16, Binance will list BEL for trading. The open trading pairs on Binance are BEL/BTC, BEL/BNB, BEL/BUSD, and BEL/USDT.
Felix Xu, Bella co-founder and CEO, explained that many crypto users do not participate in DeFi due to high cost and difficult user experience.
He further noted that Bella would enable users save gas fees as well as time. Bella also allows them to enjoy high yield from sophisticated strategies and “leave all the heavy lifting to us.”
Notably, Bella Protocol’s product lineups currently include Bella Liquidity Mining, Flex Savings, One-Click Portal, and Lending. It is also important to note that rewards are calculated by the amount of tokens staked by a user in comparison to the total amount of tokens staked in the pool.
About Bella Protocol
Bella Protocol is a suite of open finance products. These products include a 1-click savings account, automated yield farming tools, customized robo-advisor, and a lending protocol.
The platform is mainly an ecosystem project incubated by ARPA, which is a layer 2 multiparty computation (MPC) network created on Ethereum. Bella’s new initiative is part of ARPA’s long-term DeFi blueprint and is intended to attract users from the global ARPA community.
Felix Xu explained that Bella mainly aims to bring the everyday banking experience to crypto. He says, “A majority of crypto holders cannot participate in DeFi due to high cost and poor user experience. We aim to become the BlackRock of crypto and bring 10x more users to the DeFi ecosystem.”
Additionally, for more on Binance’s recent dive into DeFi products, check out the official Altcoin Buzz YouTube channel.