Tech

BNB Chain offers another lifeline to Terra ecosystem projects

05/20/2022
Bitcoin Ethereum News

Binance will welcome migration and offer support to projects from the Terra (LUNA) ecosystem following this month’s unraveling of the decentralized finance (DeFi) platform and its algorithmic stablecoin.

BNB Chain (BNB) has committed to providing investment and support to projects that are considering migrating from the Terra ecosystem in the wake of the biggest black swan event to hit the cryptocurrency space in recent years.

Stader Labs will become one of the first Terra ecosystem projects to begin integrating with the BNB Chain. The firm builds liquid staking solutions across four blockchains, namely Solana (SOL), Near (NEAR), Fantom (FTM) and Hedera (HBAR), and is set to offer BNB liquid staking through a newly announced partnership.

Users will be able to stake BNB in Stader and receive yields through the platform, while the firm will also issue a staking derivative representing the staked BNB holdings, which users can then use in DeFi protocols.

TheBNB Chain Fund offers access to $1 billion in investment and grants to prospective projects looking to operate within the BNB Chain ecosystem. The team is committed to supporting projects migrating from the Terra ecosystem and will provide added network, tokenomics and marketing support as well as business development.

Gwendolyn Regina, BNB Chain’s investment director, spoke to Cointelegraph about the move to support ailing projects from the Terra ecosystem. While the potential for the ecosystem to recover is subject to much speculation, Regina said the firm was looking to onboard some important builders from the Terra ecosystem:

“The Terra ecosystem has a lot of talented creators and developers, and our support is aimed at helping those builders and teams, building new projects on the BNB Chain. Hence, we are simply interested in supporting developers and projects so that they do not miss out on future potential.”

Regina also confirmed that a handful of projects within the Terra ecosystem had been interacting with the BNB Chain before its collapse including Mirror Protocol, Synapse, and Wormhole. Of particular interest to BNB Chain are firms working in emerging sectors of the crypto-economy — a space in which Terra developers were gaining momentum, according to Regina:

“BNB Chain community is also open to getting developers onboard across categories such as DeFi, NFTs, GameFi, frontier tech, infrastructure, sustainable tech, etc. We have seen significant interest from gaming companies on Terra, because of our sidechain framework, BAS, which is the go-to sidechain for an excellent gaming experience.”

Related: Polygon and others extend helping hand to Terra blockchain projects

Binance is not the only cryptocurrency firm offering help to beleaguered projects within the Terra ecosystem. Telos also announced support of developers and projects within the Terra ecosystem this week and will work to fast track migrations of decentralized applications, or DApps, that were operating in the Terra ecosystem — including investment, marketing support and technical assistance.

Ethereum-based scaling platform Polygon is also opening its arms to Terra-based projects, with CEO Ryan Watt and Sandeep Nailwal announcing migration support on Twitter. Cointelegraph reached out to Polygon for comment, with Wyatt set to confirm further details for interested migrating parties from the Terra ecosystem.