DeFi project Mound has raised $1.6 million in a strategic funding round led by the Binance Labs. According to a blog post, Binance, the venture capital, and incubator, have revealed that it has led the strategic investment round of $1.6 million for Mound to power Pancake Bunny. The round witnessed prominent participants like IDEO CoLab, SparkLabs Korea, and Handshake co-founder Andrew Lee.
The Mound is the latest DeFi protocol to join the protocols that Binance promotes aggressively on the BSC (Binance Smart Chain). However, some researchers claim that the chain is highly centralized. The Mound is the team behind the Pancake Bunny yield aggregator. It proclaims that it has over 30,000 daily users and has garnered over $2 billion in TVL (total value locked) after its launch on Binance Smart Chain in December 2020. Moreover, the Pancake Bunny protocol facilitates farmers to optimize yield compounding strategy on the PancakeSwap DEX.
Mound to Employ the Funds for Development of New Products and Features
Binance Labs contend that the new investment would allow the DeFi startup to stimulate new features and products. These could involve cross-chain collateralization and smart vaults in enhancement to higher-yielding farms. Moreover, Smart Vaults are for farming single asset yields on leveraged lending products. It also automatically verifies if the leveraging cost may be higher than expected returns and can actively adjust MOUND’s cross-chain farming assets.
Cross-Chain Collateralization is cross-chain yield farming that allows users to retain original assets on their native blockchain rather than on a bridge token. The user’s actual assets act as collateral when the Bunny protocol acquires assets on the Binance Smart Chain for yield farming. This enables users to manage assets on native blockchains while providing them liquidity to create returns on the Binance Smart Chain.
Moreover, there is a liquidity token farming program for BUNNY token is operating on the platform. It will distribute tokens till May 14 to raise liquidity. The DeFi platform’s native BUNNY token has mounted to an all-time high. It led to reach $460 early on April 13, behind the back of the news. Since the same time last month, BUNNY has risen 62% over the past seven days and 187%. At the beginning of 2021, it was trading at $4.60, indicating a monumental surge of 9,900% to prevailing levels.
Follow BitcoinWorld for the latest updates.