YZi Labs has launched a massive $1 billion fund to support startups in the BNB Chain ecosystem. The company aims to strengthen BNB's growth potential by investing in projects focused on Web3, artificial intelligence (AI), DeFi, and biotechnology.
YZi Labs launches BNB network
Formerly known as Binance Labs before its rebranding, YZi Labs repositioned itself in the crypto space last year by changing its identity.
In a statement, YZi Labs stated that this fund, called the "BNB Builder Fund," will provide support to entrepreneurs working in various fields such as decentralized finance (DeFi), artificial intelligence, real-world assets (RWA), decentralized science (DeSci), and wallet infrastructure. The fund will also operate as part of the YZi Residency program and will include BNB Chain's "Most Valuable Builder (MVB)" accelerator program. Projects selected for the MVB program will receive up to $500,000 in funding and will gain direct access to YZi Labs and BNB Chain's core team. This structure aims to accelerate the financial and technical development of early-stage startups.
BNB Chain has recently experienced significant growth in transaction volume and active users. According to Token Terminal data, the network ranked first in daily transactions, DEX volume, and active addresses. As of October, BNB Chain's monthly active addresses reached 57.8 million, surpassing Solana's 38.5 million. The network's daily transaction volume is approaching $4.7 billion, while the total value locked (TVL) on the decentralized exchange Aster, in particular, has increased by 500% to $2.4 billion.
YZi Labs's funding initiative aims not only to support developers on BNB Chain but also to increase liquidity and transaction activity on the chain. Historically, such ecosystem funds have been known to lead to strong increases in token prices. For example, in 2021, Near Protocol raised its token price to $18 within two months after establishing an $800 million ecosystem fund. That same year, the Avalanche Foundation announced a $200 million fund, dubbed "Blizzard," and the price of AVAX quickly surged by more than 80 percent.
BNB may be entering a similar period. Having gained 11.6 percent in value in the last month, this fund announcement is rumored to be sparking a new rally. The network's transaction density and new developer interest have refocused investors' attention on BNB.
YZi Labs President Ella Zhang said, "With this fund, we are supporting the BNB ecosystem in building a future based on human-centric technologies. We want to empower those building the next phase of open systems."
