The DeFi sector has continued to undertake and introduce innovation that warrants its position as a latest technology. To this end, the decentralized crypto exchange platform Uniswap has recently extended its services to Binance Smart Chain or BSC.
It is worth noting that Uniswaps hosts the largest decentralized exchange protocol in the world in terms of the trading volume.
It has recently extended the expanse of its services to BNB Chain. BNB Chain is an Ethereum Virtual Machine and smart contracts-based blockchain that issues BNB tokens. This blockchain was founded by Binance exchange.
Uniswap has approved the proposal regarding the governance of BNB Chain and bridge solutions. The stakeholders on Uniswap participated in the voting process that led to the completion of the BNB chain integration.
The Cooperation Between BNB Chain and Uniswap
Alvin Khan is the director of growth at BNB Chain. Commenting on the matter he claimed that thus far BNB Chain has built a dedicated community of active users and ensures scalability for all. He introduced it as a launch pad for Web3-related matters.
He claimed that the partnership with Uniswap is going to pave the way for ensuring reach to innovative solutions for the stakeholders and finding new ways to improve decentralization.
The proposal to launch 3rd version of Uniswap on the BNB chain was presented by 0x Plasma last month. Since that time this proposal has received around 55 million UNI tokens as proof of votes. He also mentioned that this onboarding may lead to Uniswap taking over more than 50% of the market share from PancakeSwap.
For context, the reader should know that PancakeSwap is the current leading decentralized exchange on the BNB chain with an AUM of $2.5 billion in cryptocurrencies.
BNB Chain can open the way for Uniswap to a flood of new consumers who are already familiar with decentralized trading and swaps. This integration has the potential of increasing considerable traction on the DEX in the future.
When Wormhole designed a digital asset transfer bridge for BNB Chain after a governance vote, it created a similar situation. The creation of this bridge resulted in a face-off between two major venture capital firms.
These firms namely Andreessen Horowitz and Jump Crypto battled with each other to take hold of the governance rights and major voting banks during this skirmish.
Eventually, the A16Z won the voting battle by staking a massive amount of UNI tokens to vote out Jump Crypto and voted against the favor of picking Wormhole’s bridge.