This year, Binance Smart Chain aims to build cross-chain financial infrastructure that unlocks the Internet of Value. By wrapping DUSK as BEP20 tokens on the Binance Smart Chain, the companies take their first step towards large scale adoption of DeFi applications.
“A lot of the disruptive potential of DeFi lies in solutions that satisfy institutional requirements, so that we can attract more real-world assets and use cases”, as reported in the Binance Smart Chain 2021 Roadmap, Vision and Trends. Regulated Decentralized Finance (long for RegDeFi) is particularly well-suited for real-world use cases that satisfy institutional requirements.
“DeFi applications allow for new methods of creating and transferring assets. If these methods are to disrupt the global financial industry, adoption is needed. And adoption requires adherence to the existing rules and regulations, no matter how fragmented and different these applications are across the global markets. RegDeFi achieves this.”
The first step of the integration has been made. DUSK can be withdrawn from the Binance CEX as BEP20 DUSK tokens on the Binance Smart Chain. The ongoing collaboration is now focused on the creation of a more direct method of transferring tokens via the Binance Bridge.
Increased DeFi interoperability
This integration is important as it grows the DeFi interoperability for the Dusk Network ecosystem. “Now that the DeFi market is maturing and becoming more accessible, we are keen to participate and test for possible privacy-preserving solutions in the ecosystem. This way we do not only tap into a new market of tech-savvy decentralized finance users, we also open up additional utility for DUSK holders along the way.” said Jelle Pol, business lead Dusk Network.
New privacy-preserving solutions
In the mid term, the collaboration brings opportunity for new privacy-preserving use-cases in the BSC DeFi ecosystem. After Dusk Network’s release, solutions like enhanced transactional privacy for wrapped tokens (e.g. wrapped BNB), privacy-enhanced DeFi applications, and regulated digital assets are to satisfy institutional requirements. We expect to announce the emission of wrapped BNB for transaction privacy on the Dusk Network mainnet.
About Binance Smart Chain
Binance Smart Chain is a sovereign smart contract blockchain delivering Ethereum Virtual Machine (EVM) compatible programmability. Designed to run in parallel with Binance Chain, Binance Smart Chain retains the former’s fast execution times and low transaction fees while adding Smart Contracts functionality to support compatible DApps.
About Dusk Network
Dusk Network is the privacy blockchain for financial applications. Dusk Network envisions a financial industry that provides equal opportunity for any organization to secure capital, trade assets and access a full spectrum of financial services. Companies use the Dusk Network blockchain to issue tokens, trade and collaborate via smart contracts. Dusk Network recently became a shareholder of the Dutch Stock Exchange NPEX and the fintech scaleup is based in Amsterdam.