Binance Labs Invests in Kernel to Improve Restaking Infrastructure
Binance Labs has invested in Kernel, a platform focused on enhancing restaking infrastructure on the BNB Chain. This investment aims to improve the security and utility of decentralized finance (DeFi) and other crypto applications on the network. Kernel will utilize restaking to bolster BNB's security, transforming it into programmable trust that supports various crypto services.
The initial phase of Kernel’s rollout will integrate BNB Liquid Staking Tokens (LSTs) and restaked BNB as economic security, fostering innovation within DeFi on the BNB Chain. Future plans include incorporating Bitcoin and related assets into its restaking framework. Over 20 decentralized applications (dApps), such as AI co-processor Mira and ZK proof protocol Electron, will leverage Kernel’s system for enhanced security. Collaborations with projects like ListaDAO, Solv, and YieldNest will further increase the utility of restaked assets.
Kernel’s long-term goal is to scale its infrastructure to include additional layer-1 blockchains, improving overall system utility. The platform integrates both native and liquid staking tokens from assets like BNB and BTC, optimizing capital efficiency while enhancing asset usefulness. Incorporating yield-bearing assets could lead to more applications within the DeFi ecosystem.
Binance Labs’ investment in Kernel aligns with its strategy to support innovative projects that promote Web3 and expand the blockchain ecosystem. Alex Odagiu, Investment Director at Binance Labs, highlighted the significance of projects like Kernel in advancing key technological initiatives in Web3.
This investment follows Binance Labs’ backing of Lombard, a platform focused on Bitcoin liquid staking. Lombard’s LBTC token currently holds 40% of the Bitcoin liquid staking market and plans to enhance its multi-chain staking capabilities. Binance Labs has also entered the decentralized science (DeSci) space by investing in BIO Protocol, marking its first step into this emerging field.
Binance Labs is diversifying its portfolio, now valued at $10 billion, by supporting projects reshaping various sectors within the blockchain and crypto landscape. With investments in areas like Bitcoin staking, decentralized science, and restaking infrastructure, Binance Labs aims to establish itself as a significant player in the blockchain ecosystem.