The crypto market entry of Binance BSwap, a decentralized DeFi which doubles up as an Automated Market Maker appears to be FoMo driven. With a lot of digital assets changing hands through DeFi projects, Binance goal is to cash in on the hype.

The creation of a centralized automated market maker pool by a global high profile crypto exchange is a clear indication that DeFi is the future of the digital money market. BSwap is intended to complement UniSwap in token swapping. This will provide the much needed liquidity and an annual yield for the investor.

Binance BSwap and Binance UniSwap

As shown by Tron (TRX) price spike after entry into the DeFi world, Binance BSwap and UniSwap are trying to tap into the potential of decentralized finance.  Already the UniSwap clone has brought onboard several digital assets including their native Binance USD (BUSD) Tether (USDT) and Dai (DAI.

Once you deposit the listed coins, your start accruing interest since you are also providing liquidity to the ecosystem. To lower the trading fee, Binance is using the market marker protocol. During today’s BSwap launch, trade fees will be reduced to 0.04% before reverting back to the 0.1% standard rate.

Binance makes trading process easy through the automation. This means the platform will deploy smart contracts. The system will replenish private reserves by the liquidity pools created by investors.

Binance BSwap and UniSwap a Miss or a Hit?

The Binance BSwap and UniSwap is a clear show of how the largest crypto exchange in the world is scared of missing out on DeFi. However, market observers think the failure to adopt latest trends in the digital money market is a sure fire way of making centralized exchanges obsolete.

UniSwap has been recoding high trade volumes. Already the platform has locked over $1.9 billion worth of liquidity and going strong. It still remains to be seen whether the ecosystem is going to hang on there and follow the likes of Tron (TRX) and other DeFi projects being launched.