Binance Coin (BNB) is the latest asset to be added to the Libra Credit platform following an agreement between Binance Labs and the lending company that was announced in a Medium post. The deal is aimed at satisfying the demand for liquidity in the token-based lending environment of Libra Credit. Holders of BNB will be able to use their tokens as collateral for both crypto and fiat loans.
The move is part of Binance’s efforts to continue adding functionality to their own token. Just recently, they partnered with Pundi X, allowing users to apply the coin as a payment in the Indonesian startup’s POS device. Still, the main features of BNB remain tied directly to the exchange.
The deal with Libra Credit also includes a direct investment form Binance Labs, but further details were not disclosed. Ella Zhang, CEO of Binance Labs briefly commented:
“The Libra Credit founding team has a wealth of experience and resources in financial services and payment solutions. They are committed to make long lasting impacts in the industry”
Binance Labs is the research and development department of the exchange (the de facto investment branch), which looks for interesting crypto-related projects to back. The “incubator” has provided funds to several other projects recently, including Mobile Coin and Oasis Labs.
Libra Credit is a decentralized lending system, based on the Ethereum network. During their initial coin offering (launching the LBA token) the team of payment services veterans managed to raise approximately $26 million. The goal is to create a desktop and mobile version of their platform, which will connect an already established lending network to the world of crypto. Its initial focus will be on the Asian client base.
This article appeared first on Cryptovest
