Binance Labs Reveals OpenEden Investment To Revolutionize RWA Tokenization

Binance Labs, the venture capital arm of crypto exchange Binance, has announced its investment in OpenEden. It is a platform specializing in the tokenization of real-world assets (RWAs). Moreover, OpenEden’s goal is to bridge the gap between traditional finance and decentralized finance (DeFi) by bringing real-world yields onto blockchain platforms.

Binance Labs Investment In OpenEden

For further context, OpenEden operates through two main entities. These include a fund management company licensed by the Monetary Authority of Singapore (MAS) and a technology company that provides a full-stack tokenization infrastructure. It launched the tokenized U.S. Treasury Bill (T-Bill) Fund, branded as “TBILL.” The fund recently became the first and only tokenized T-Bill product to receive an “A” rating from the financial rating agency Moody’s.

Moreover, the it’s worth noting TBILL is the largest tokenized T-Bill outside the United States. The company’s mission is to bring trillions of dollars of real-world yields onto blockchain networks, making them accessible to a global audience and creating a more decentralized financial system. Hence, the latest investment by Binance Labs could be a major push toward achieving the mission.

Last month, OpenEden reached a milestone by surpassing $100 million in Total Value Locked (TVL) for its tokenized TBILLs. Moreover, OpenEden’s platform allows Know Your Customer (KYC) verified investors, decentralized autonomous organizations (DAOs), and crypto treasury managers to link their self-custodial wallets to mint TBILL tokens.

These tokenized T-Bills enable them to earn yields on idle capital in the form of stablecoins. By managing the entire tokenization stack in-house, OpenEden has achieved operational efficiency, which translates into higher net yields for its token holders. To date, over 100 institutional clients have onboarded the platform.

The latest investment by Binance crypto exchange’s investment arm will help OpenEden scale its operations and expand access to RWA-backed yields across the DeFi ecosystem. The company aims to introduce new financial products, forge channel partnerships, and explore emerging markets. The move is in line with Binance Labs’ strategic focus on supporting projects that unlock new opportunities in Web3 through sustainable and meaningful technologies.

Official Statements

“Binance Labs provides unwavering support to projects that are unlocking the next wave of opportunities in Web3 through meaningful and sustainable technologies. We believe OpenEden is well-positioned to capitalize on the growing adoption of stablecoins and RWAs, and we are excited to join them on this journey,” said Andy Chang, Investment Director at Binance Labs.

Furthermore, OpenEden co-founder Jeremy Ng expressed optimism about the recent partnership. He highlighted the potential to blend native blockchain yields with real-world returns. “Their backing empowers us to accelerate our efforts in blending native yields with real-world yields, which will help stabilize returns in DeFi and create pathways for bringing institutional liquidity onto decentralized platforms,” he said.

Also, it’s important to note that the tokenization of real-world assets, especially T-Bills, has seen significant growth as the demand for RWAs continues to rise. According to data from blockchain analytics firm Messari, the total value locked in RWAs has surged over the past year, reaching $8 billion.

Moreover, T-Bills have emerged as the preferred choice among issuers in this rapidly expanding sector. Recently, Binance also expanded support for FIRO hard fork network upgrade to elevate user experience.

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Kelvin Munene Murithi

Kelvin is a distinguished writer with expertise in crypto and finance, holding a Bachelor’s degree in Actuarial Science. Known for his incisive analysis and insightful content, he possesses a strong command of English and excels in conducting thorough research and delivering timely cryptocurrency market updates.

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