Mound, the team behind the popular Pancake Bunny yield aggregator, has raised $1.6 million in a strategic funding round led by Binance Labs, the venture capital arm of Binance. This investment will help power Pancake Bunny and develop new features to enhance the DeFi ecosystem on Binance Smart Chain (BSC).
The funding round also saw participation from prominent investors, including:
- IDEO CoLab
- SparkLabs Korea
- Handshake co-founder Andrew Lee
About Pancake Bunny and Mound
What is Pancake Bunny?
Pancake Bunny is a yield aggregator protocol that optimizes yield compounding strategies for farmers on the PancakeSwap decentralized exchange (DEX).
- Daily Users: Over 30,000.
- Total Value Locked (TVL): Exceeds $2 billion, achieved within months of its December 2020 launch on Binance Smart Chain.
Mound’s Vision
Mound aims to innovate DeFi solutions on Binance Smart Chain, focusing on providing:
- Higher-yielding farming strategies.
- Enhanced cross-chain capabilities.
How Mound Will Use the $1.6 Million Investment
The funding will accelerate the development of new products and features, including:
1. Smart Vaults
- Purpose: Automates single-asset yield farming while optimizing leveraging costs.
- Benefit: Actively adjusts assets to ensure returns exceed leveraging costs, maximizing yields for users.
2. Cross-Chain Collateralization
- Function: Allows users to retain their original assets on native blockchains while using them as collateral for yield farming on Binance Smart Chain.
- Advantage: Ensures liquidity generation without sacrificing the security of assets held on native blockchains.
3. Additional Enhancements
- Introduction of higher-yielding farms to attract new users.
- Expansion of cross-chain capabilities to integrate assets across multiple blockchains.
Pancake Bunny’s Impact on the DeFi Space
BUNNY Token Performance
The native BUNNY token has seen exponential growth:
- All-Time High: Reached $460 on April 13, 2024.
- Year-to-Date Growth: Surged by 9,900% from its January price of $4.60.
- 7-Day Increase: Up 62%, reflecting strong investor interest following the funding news.
Liquidity Farming Program
To further enhance platform liquidity, Pancake Bunny has launched a liquidity token farming program for BUNNY tokens. The program will continue until May 14, 2024, distributing tokens to incentivize liquidity providers.
The Role of Binance Labs
Binance Labs has been a significant supporter of DeFi projects on Binance Smart Chain, despite criticism about the chain’s centralization. The investment in Mound aligns with Binance’s strategy to promote innovative DeFi protocols and strengthen the ecosystem.
Conclusion
The $1.6 million investment led by Binance Labs positions Mound and Pancake Bunny as key players in the DeFi space on Binance Smart Chain. By focusing on Smart Vaults, cross-chain collateralization, and user-friendly yield farming strategies, Mound aims to deliver unparalleled value to DeFi users.
With the rapid rise of the BUNNY token and over $2 billion in TVL, Pancake Bunny is poised to drive further growth and innovation in decentralized finance.
For the latest updates on Pancake Bunny and other DeFi advancements, follow BitcoinWorld for comprehensive insights.
Disclaimer: The information provided is not trading advice, Bitcoinworld.co.in holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.