Binance Labs, the venture capital and incubation arm of Binance, has invested in Aevo. The firm made the disclosure today via an official blog post on Tuesday. In the announcement, the venture capital outlet of the world’s largest cryptocurrency exchange by trading volume revealed that the investment is an attempt to nurture the growth of Layer 2 blockchain solutions.
Meanwhile, the investment in Aevo is part of Binance Labs’ commitment to contributing to the advancement of the cryptocurrency and blockchain landscape. Recently, the firm invested in a CeDeFi firm, BounceBit to enhance Bitcoin restaking. According to a Binbits report, BounceBit is a restaking and CeDeFi protocol that is designed to change the existing narrative around BTC from a passive asset into a dynamic
So far, Binance Labs has a portfolio that covers about 250 projects from more than 25 countries in 6 continents. The venture and incubation firm has matured into a firm worth more than $10 billion.
Insight into Aevo Services
Furthermore, Binance Labs in the post, provided insight into the offering of Aevo. According to the post, Binance Labs describes Aevo as a high-performance Layer 2 (L2) built on top of the OP Stack. As revealed, the network supports perpetual trading, pre-launch futures, and options. These features according to the firm are all accessible on a sole platform through a single margin account.
Furthermore, Aevo has a technical infrastructure that runs as an off-chain order book with on-chain settlement on Ethereum. Also, the Layer 2 solution uses Celestia as a high-throughput DA layer for scalability. It is worth mentioning that Aevo was formerly known as Ribbon Finance, a DeFi options protocol.
Ribbon Finance transcended into Aevo as a result of a rebranding effort approved in Ribbon Finance’s RGP-33 governance proposal. As part of its advancement efforts, the project through relevant DAO committees will roll out new initiatives for incentives, token liquidity, and community growth. With these initiatives, the project intends to attract more users and liquidity to the platform.
An insight into its plan indicated that Aevo intends to launch vault strategies, yield products, and staking features. Additionally, the project will expand its ecosystem of derivative products and allow developers to deploy their dApps permissionlessly on its Layer 2 network, allowing them to leverage its growing user base and unique features.
So far, Aevo has attracted more than 50,000 active monthly users, and it has carried out $80 billion worth of derivatives volume, generating more than $30 million in fees.