Radiant Capital—which is already built on top of another Binance-supported firm called LayerZero Labs—will get $10 million to implement its growth plans, including $5 million to go towards Radiant’s DAO
Binance Labs announced that it is investing millions into decentralized finance (DeFi) lending protocol Radiant Capital in an effort to connect more blockchains together, and therefore improve how easily users can lend or borrow across them.
Radiant Capital—which is already built on top of another Binance-supported firm called LayerZero Labs—will get $10 million to implement its growth plans, including $5 million to go towards Radiant’s decentralized autonomous organization (DAO). The protocol presently permits users to borrow and deposit tokens, and the aim is to expand this capability to more than one blockchain, beyond where it presently resides on the BNB Chain and Arbitrum on the Ethereum blockchain.
LayerZero reached a $3 billion in April after a fundraising round supported by Christie’s and Samsung.
Yi He, who heads Binance Labs and is co-founder of Binance along with Changpeng “CZ” Zhao, acclaimed the investment in Radiant as a way of “driving mass adoption” of decentralized finance protocols across the crypto ecosystem. A Radiant spokesperson said that it aims to be “chain-agnostic,” and plans to launch on every EVM compatible chain that the decentralized autonomous organization votes in favour of. They say that this method will encourage more transparency in a way that does not cost users any security in their transactions.
Binance Labs has earlier backed similar bridging projects, including Cosmos Labs’ development of its Neutron platform, a smart contract solution that is aimed at connecting projects across various chains.
As per the announcement, Radiant is looking to expand into more chains across the Ethereum Virtual Machine, a virtual environment that permits various chains powered by smart contracts to interact with each other. Any of these new cross-chain options will be driven by community votes across its decentralized autonomous organization, the members of which will be permitted to vote on factors such as Loan-to-Value parameters for borrowers, as per Radiant core contributor George McCallan.
This fits into Radiant’s declared mission of developing into a cross-chain money market.
Presently, Radiant backs a combination of ten digital asset classes, including tokens such as Arbitrum and ether as well as stablecoins such as USDC.
