Binance Labs Invests in Babylon Protocol to Support the Advancement of Bitcoin Staking
Posted: February 27, 2024 12:41 PM Updated: February 27, 2024 12:41 PM
Correction and fact check date: February 27, 2024, 12:41 p.m.
briefly
Bitcoin staking protocol Babylon has secured an investment from Binance Labs to further advance development ahead of its upcoming launch.
Binance Labs, the venture capital and incubation arm of cryptocurrency exchange Binance, has invested in Bitcoin (BTC) staking protocol Babylon. The specific investment amount was not disclosed.
Babylon is leading the way in introducing basic Bitcoin staking concepts, allowing users to stake Bitcoin for Proof-of-Stake (PoS) blockchains. This approach allows users to earn profits without the need for third-party storage, bridging solutions or packaging services. The protocol ensures economic security for PoS chains while optimizing the stake release process to improve liquidity for Bitcoin holders.
“Bitcoin staking is a major step forward in the integration of Bitcoin and the PoS economy, introducing important new use cases to the industry. Binance Labs’ investment in Babylon represents our commitment to supporting innovative projects that lead the Bitcoin story and advance use cases,” said Yi He, co-founder of Binance and head of Binance Labs.
Built utilizing the open source framework for PoS blockchain Cosmos SDK, the Babylon chain provides Bitcoin timestamp services to PoS chains and acts as a control plane for synchronization between the Bitcoin network and PoS chains. It plays a pivotal role in facilitating BTC staking, participating in final rounds, and tracking validator staking information. Ultimately, it serves as a bridge between Bitcoin’s proof-of-work (PoW) world and PoS chains.
Babylon Revolutionizes Bitcoin Scaling, Plans Launch in April
Founded in 2022 by Stanford professor David Tse and Dr. Fisher Yu, Babylon is a blockchain project dedicated to designing secure shared protocols for the decentralized economy. Babylon aims to expand Bitcoin to enhance the security of the decentralized economy.
It therefore leverages Bitcoin’s assets, its trusted timestamp service, and its position as the most censorship-resistant block space globally. Currently, Babylon is developing secure sharing protocols such as Bitcoin Stake Protocol, Bitcoin Timestamping Protocol, and Bitcoin Data Availability Protocol. Last year, the Babylon team raised $18 million in funding from investors including Polychain Capital and Hack VC through a combination of equity and token guarantee rounds to accelerate project development.
According to David Tse, the Babylon Protocol is expected to launch in April 2024, around the time of the next Bitcoin halving. Once operational, the Babylon Chain Protocol will act as a control plane, facilitating coordination between Bitcoin and PoS chains.
The new investment and support from Binance Labs represents a milestone in Bitcoin staking innovation and solidifies Babylon’s position as a leader in reshaping Bitcoin’s narrative.
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Alisa is a reporter for Metaverse Post. She focuses on everything related to investing, AI, metaverse, and Web3. Alisa holds a degree in Art Business and her expertise lies in the fields of art and technology. She developed a passion for journalism through her work with VCs, notable cryptocurrency projects, and science writing. You can contact us at (email protected).
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alice davidson
Alisa is a reporter for Metaverse Post. She focuses on everything related to investing, AI, metaverse, and Web3. Alisa holds a degree in Art Business and her expertise lies in the fields of art and technology. She developed a passion for journalism through her work with VCs, notable cryptocurrency projects, and science writing. You can contact us at (email protected).
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