Binance Labs, a VC arm of the largest global cryptocurrency platform Binance, confirms its investment in Ambit Finance, a new-gen DeFi platform.
Ambit Finance secures $4.5 million from Binance Labs
According to an official announcement shared by Binance Labs, it led the strategic funding round for Ambit Finance DeFi. The net amount of funding totals $4,500,000.
Welcome @ambitfinance to the Binance Labs family! We continue to accelerate development of trustless Defi in BNB Chain ecosystem and SECURITY is always at at core for all Defi protocols. 🔝https://t.co/vmAv5LrvaC— Binance Labs Fund (@BinanceLabs) December 2, 2022
As per the statement by Binance Labs representatives, this round is set to highlight their commitment to supporting trustless DeFi protocols in the BNB Chain ecosystem.
Ambit Finance is developed by the same team that ran Anchor Protocol (ANC), the largest DeFi on the collapsed Terra (LUNA) blockchain. Anchor allowed its users to generate a 19.5% yield on UST stablecoin deposits.
With the launch of Terra 2.0, Anchor Protocol (ANC) was exploited, as U.Today has previously covered.
Tyler Z., Investment Director at Binance, highlights that Ambit Finance's concept looks innovative for BNB Chain's DeFi community:
We believe this strategic investment to be an opportunity to introduce an advanced lending protocol to the BNB Chain community. We hope that Ambit Finance can bring mass adoption of DeFi, and that users on BNB Chain will be able to enjoy multiple tailored approaches to advanced lending and risk control
Unlocking new opportunities for BNB Chain
Ambit Finance will be focused on building an instrument for yield generation based on Binance USD (BUSD), a U.S.-regulated Binance stablecoin.
Co-founder and CEO of Ambit Finance, Sphere CM, is excited about the prospects this funding round opens for his project:
The Ambit team has unprecedented experience in scaling mass-adoption protocols. The product will leverage lessons learned over the past year and make security and sustainability its governing principles. We will work closely with BNB Chain to make Ambit a cornerstone of the ecosystem's on-chain strategy and, paired with Binance's trusted brand and market strength, to make it a magnet for financial institutions entering the crypto space
Building a DeFi super app with collateralized lending, under-collateralized margin lending and structured products for financial institutions is the endgame purpose of the collaboration between Ambit Finance and Binance Labs.