Binance Labs Invests in Renzo as A16z Commits $100M to EigenLayer – BSC NEWS
Binance invests an undisclosed amount in Renzo while Andreessen Horowitz backs Eigenlayer with $100 million.
Binance Labs, the venture capital and incubation arm of Binance, has invested an undisclosed sum into Renzo, an Ethereum liquid restaking protocol based on EigenLayer technology.
We’re excited to announce we have invested in @RenzoProtocol!
Renzo is an LRT and Strategy Manager for EigenLayer. The protocol serves as the interface to the EigenLayer ecosystem by securing AVSs and offering additional yields.
Read more👇https://t.co/hamISS7unm
Renzo's recent success builds upon its recent seed funding round, which saw an investment of $3.2 million, valuing the startup at $25 million. Lucas Kozinski, a founding contributor of Renzo, said Binance Labs' investment is similar to the earlier seed round, which included equity and token warrants.
Renzo emerges as Binance Labs' second notable venture into Ethereum's restaking domain. It operates via Ethereum smart contracts, facilitating collaboration between stakers, node operators, and Actively Validated Services (AVSs).
In parallel, the venture capital firm Andreessen Horowitz (a16z) has backed EigenLayer with a $100 million investment. This significant funding round reportedly saw a16z as the sole investor, as detailed in a recent Bloomberg report.
EigenLayer had previously concluded a $50 million funding round in March, led by Blockchain Capital. Founded in 2021, EigenLayer has emerged as Ethereum’s foremost restaking protocol by total value locked (TVL).
The protocol empowers validators and stakers to restake liquid staking derivative tokens like Lido Staked ETH and RocketPool’s rETH, fortifying and validating diverse networks. Moreover, these assets are deployable in various decentralized finance (DeFi) protocols, enabling users to secure additional yield.
EigenLayer presently stands as the third-largest protocol on Ethereum, boasting a TVL of $7.806 billion.
The proposal, led by Uniswap Foundation's governance lead, Erin Koen, seeks to enhance and energize the platform's governance while distributing protocol fees to engaged UNI token holders.
The Uniswap Foundation, a non-profit organization backing the decentralized exchange Uniswap, has proposed changes focused on restructuring fee mechanisms to reward UNI token holders, injecting fresh energy into Uniswap's governance model.
Uniswap Foundation's proposal aims to improve protocol governance to facilitate protocol fee collection. These fees would be distributed proportionally to UNI token holders who have staked and delegated their votes.
Additionally, the governance system would retain control over core parameters related to fees. The primary goal is to fortify and revitalize Uniswap's governance structure.
This proposal marks a departure from Uniswap's previous initiatives, such as last year's unsuccessful attempt to reward token holders with accrued fees. This proposal, led by Erin Koen, the Uniswap Foundation's governance lead, aligns the fee mechanism with the interests of staked and delegated token holders.
🧵 Biggest week in Uniswap Protocol Governance… ever?
I just proposed a large-scale upgrade to the system. Specifically, I believe we should upgrade the protocol so that its fee mechanism rewards UNI token holders that have staked and delegated their tokens. 🦄
The success of the proposed overhaul hinges on a community vote, with analysts expressing optimism. According to Blockworks research analyst Matt Fiebach, despite past failures, the current proposal appears to be on the right track.
In addition to foundation support, this fee switch proposal benefits from ongoing research and development. In response to the announcement, Uniswap's native token (UNI) experienced a rapid surge of over 60%, leaping from $7.24 to $12.6 within an hour, as reported by CoinMarketCap.
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Buy Crypto with a bank transfer, credit or debit card, P2P exchange, and more. Not investment advice. All trading risk. Terms apply.
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Buy Crypto with a bank transfer, credit or debit card, P2P exchange, and more. Not investment advice. All trading risk. Terms apply.