A $1 Billion Binance Fund to grow Smart Chain ecosystem projects has been announced by one of the world’s leading cryptocurrency exchanges.
In a press release today, Binance says it will put aside a billion US dollars to fund development in the ecosystem, divided into four categories.
- $100 million will go towards talent development, including mentoring communities and investor education.
- $100 million will be pumped into liquidity pools to specific protocols, based on different metrics which include innovation, active users, TVL and trading volume.
- $300 million will be invested in a builder and innovation program.
- $500 million will be spent on accelerating mainstream adoption as well as projects which disrupt financial infrastructures.
Binance revealed the initiative to grow Smart Chain projects on their website today, becoming effectively the world’s biggest crypto accelerator fund.
The program is designed to boost the growth and innovation of projects and bolster the wider community and create a crypto-native pool of talent that will pave the future of crypto. This program will take us one leap closer to making BSC the most inclusive and used blockchain infrastructure in the world, creating the new Internet of Value for everyone. We also hope that this program will benefit all the participants in the crypto market, whether it be through creating new talent or building new businesses and projects.Binance Press Release
$1 Billion Binance Fund the latest investment into ecosystem development
When the Binance Smart Chain mainnet launched just over a year ago, the company announced a $100 million BSC Accelerator Fund which was designed to support dApps building on on the smart chain infrastructure.
During this time, the company says over 40 projects have received seed funding of up to $1 million each, and a further 60 projects benefited from incubation under their most valuable builder program. A further 200 startups participated in Hackathon and grant programs.
$100M Talent Development Fund
A total of $100M funds are reserved for Talent Development which includes mentoring developer communities, educating new crypto investors, providing academic scholarships to universities, running boot camps, and supporting R&D on cutting-edge blockchain innovations around cryptography, multi-party computing (MPC), high-performance consensus protocols, cross-chain & multi-chain infrastructure, RegTech & Deep Analytics, and more. The company says it wishes to raise a generation of crypto-native professionals that will spread across the industry and push blockchain adoption forward.
$100 Million Liquidity Incentive Program
The Liquidity Incentive initiative will run multiple programs to encourage participation from traditional financial markets and crypto, including:
- Providing liquidity rewards to the specific protocols based on Innovation, TVL, active users, or trading volumes. E.g., In Q4, Advanced DeFi protocols have become some of the most demanding dApps in the BSC ecosystem, and Derivatives projects like MCDEX.io and Deri.finance will be the first pilots to join this liquidity reward program.
- Providing more liquidity in DeFi protocols supporting professional traders and institutions. For instance, more contribution in liquidity pools in Automated Market Makers, borrowing and lending in money markets, yield farming in vaults, higher arbitrage gains, and more.
$300 Million Builder & Incubation Program
The Builder Program will be boosted with an additional $300M, of which $100M will be utilized to conduct regional and global hackathons, allowing white-hat hackers to benefit from joint bug bounty programs, as well as hosting developer conferences, and supporting existing mainstream development programs.
The remaining $200M will be used to expand the MVB (Most Valuable Builder) program, with the goal to incubate 100 innovative dApps and infrastructure provides building on top of BSC. Company’s which are accepted into the program will receive mentoring from top venture capital and technical support from the BSC core community.
$500 Million Investment Program
A total of $500M will be reserved to accelerate mainstream adoption and to bring disruption to financial infrastructures. Binance says this fund will be utilized to grow decentralized computing, gaming, metaverse, virtual reality, artificial intelligence, and financial services applications, which will not be limited to BSC but also support all the blockchain infrastructure.
With collaborations from industry-leading organizations, Binance hopes it’s investment fund will target scaling blockchain technology for real-life use cases, to bridge the gap between crypto-blockchain and the current technical-financial sectors.
The full $1 Billion Binance Fund to grow smart contract development press release can be found here.