Binance integrates Tether (USDT) on EOS.io

The Eos.io token has been rising recently, following the integration of Tether (USDT) by Binance, a giant exchange in the blockchain world. Thus, thanks to Changpeng Zhao‘s platform, EOS’s exposure has been increased with the most important stablecoin in the ecosystem. 

Eos.io is a cryptocurrency and blockchain token that operates with a smart contract platform for the deployment of decentralized applications and DAOs. Established in 2017, it offers services such as database, authentication, and new dApp development. As such, the project is not about a simple digital currency for value transfer, as Bitcoin can be, but goes far beyond that. 

The purpose of Binance: the EOS token above $1 

As anticipated, in the wake of Binance‘s integration of Tether (USDT), the stablecoin pegged to the US dollar, the EOS token has risen 11% in the past two weeks. In addition, according to CoinGecko, the largest independent aggregator of cryptocurrency data, the token has increased 13% in just the last week. 

Specifically, Binance opened USDT stablecoin deposits and withdrawals on the EOS network on 6 December. This opening was a catalyst for pushing the EOS token above $1 for the first time in a month. 

The news was announced by Binance’s official Twitter profile:

#Binance completes integration of Tether $USDT on EOS Network, opens deposits and withdrawals.https://t.co/dAmMLuLMIt

— Binance (@binance) December 7, 2022

The token initially rose over a dollar, then fell below and has since rallied and remained above the $1.05 mark.

EOS has a market capitalization of more than $1.1 billion, according to CoinGecko. The influx of actual USDT, as opposed to wrapped Tether, brings strong potential for DeFi growth on the EOS network and upward price action for the EOS token.

Indeed, on 10 December, EOS Network Foundation wrote in its weekly report: 

“The integration of USDT on EOS represents a significant advantage for EOS DeFi, which reached a limited total value locked (TVL) USDT because large holders did not have the onboarding rails to bring EOS-based USDT on-chain.”

Thus, the largest exchange and stablecoin provide strong exposure for any network. With the EOS network focused on scalability and exposure to previously unattainable trading volumes, it bodes well for growth.

Tether positioned for Web3 growth: breakthrough thanks to Eos.io 

The availability of native Tether on EOS could be a milestone on the road to mass adoption of the network, providing a direct link to Binance‘s vast trading ecosystem. 

Indeed, the introduction of EOS’s native USDT, along with Binance’s on-ramp, means that users can easily transfer crypto dollars in and out of EOS without having to convert their own resources to EOS or use a third-party bridge. 

In addition, users of DeFi protocols can now enjoy access to a safe haven asset while still having the ability to take advantage of Binance’s fiat ramp when they need to cash out. All the while, EOS-based projects are able to remunerate their employees in tokenized crypto-dollars on a network they already support.

EOS, in fact, had lost ground to Ethereum in recent times due to legal disputes and a well-reported split by developer Block.One. However, there are strong signs that it may reaffirm its status as a major player under the leadership of Yves La Rose.

Undoubtedly, one of the most significant developments was the unveiling in November of a $100 million ecosystem grant to inspire a new wave of Web3 projects. This project will be managed by a newly created entity, EOS Network Ventures (ENV), which will in effect be a VC operating independently of the executive branch of EOS.

EOS Network Ventures is responsible for identifying and funding promising Web3 projects that can bring innovative solutions to the EOS blockchain, not to mention value to existing EOS token holders. 

Startups that are likely to be the focus of the VC’s attentions include those creating decentralized enterprise-scale applications, fintech protocols, virtual worlds, eSport platforms, NFT marketplaces, and gamified financial dApps.

In addition, EOS has created several new initiatives to strengthen its attractiveness as a DeFi venue: Recover+ and Yield+. Recover+ is a cybersecurity portal that uses bug bounty and white-hat incentives to safeguard DeFi projects from hackers. In contrast, Yield+ is a complementary cash incentive and reward program that allows users to earn return from their EOS holdings.

DeFi transformation: Eos.io has more work to do 

In light of the above initiatives, EOS is committed to positioning itself as a serious web3-friendly blockchain. The foundations of that process have unquestionably been high transaction speeds, low fees, and a user-friendly interface. 

Now, EOS focuses on laying the groundwork for a flurry of developer activity in an effort to win the hearts and minds of Web3 users. The EOS network has recognized these goals, as well as its underperformance to date. 

Indeed, in its paper outlining the benefits of Yield+ it noted: 

“Chains like Ethereum and Solana lead the way in DeFi, while others like BSV, Avalanche and Fantom are growing rapidly. Unfortunately, EOS is not currently participating significantly in this market – it lags behind other comparable chains in terms of overall DeFi activity.”

In order for DeFi activity to grow, some elements must obviously be in place: access to shelter assets, on/off ramps, revenue opportunities, and an ecosystem with useful tools, infrastructure, and, of course, dApps. 

Clearly, there is a concerted push to ensure that every aspect is in place, and if EOS Network Ventures can support some winning dApps, 2023 could be a lucky year for the third-generation blockchain.