- Binance Labs was the lead investor in additional than 80% of the offers executed.
- Binance Labs additionally did follow-on funding for established DeFi protocols.
The continued crypto winter has frozen investments into cryptocurrency and blockchain startups. In keeping with a latest report by Crunchbase, enterprise capital (VC) funding into the Web3 ecosystem fell 76% in Q2 2023 when in comparison with the identical interval in 2022.
Learn Binance Coin’s [BNB] Price Prediction 2023-24
Nonetheless, regardless of the gloom throughout, some entities have put their foot ahead and demonstrated their perception in Web3’s future potential.
Binance to the rescue
In keeping with Messari, Binance Labs, the enterprise capital arm of crypto behemoth Binance [BNB], was probably the most prolific enterprise investor during the last six months. In truth, Binance Labs was the lead investor in additional than 80% of the offers executed within the aforementioned time interval.
Binance’s feat of being the lead investor in 14 out of 17 offers was almost double that of the second-best DWF Labs. Then again, Coinbase Ventures, the funding arm of high American crypto trade Coinbase, was the lead investor in solely 2 out of the 14 offers finalized within the final six months.
VC financing is offered by institutional buyers to entrepreneurs and startup companies, usually throughout the growth stage of their operations. The motive will not be solely to assist with capital however trade experience as effectively.
Moreover, Binance Labs reinvested in established DeFi protocols like Radiant Capital, Maverick Protocol, and Pendle Finance. As per Messari, this was indicative of a shift of their technique to assist broaden confirmed initiatives to the BNB Chain.
Binance Labs has emerged as a white knight within the cryptocurrency sector. Earlier within the month, Binance Labs pledged investments to the tune of $5 million into the troubled Curve Finance [CRV] token.
Native entities battle
Whereas Binance continued to pump cash into different protocols, its native blockchain witnessed a gradual decline in liquidity in 2023. The entire worth locked (TVL) on the community plunged 42% on a year-to-date (YTD) foundation, per DeFiLlama.
How a lot are 1,10,100 BNBs worth today?
Lawsuits by U.S. regulators and considerations round rising incidents of hacks prompted buyers to take out their property from the Binance-branded community.
On the time of writing, trade token BNB was valued at $217 per CoinMarketCap. The asset misplaced greater than 10% of its worth during the last month.