Binance, one of the leading cryptocurrency exchanges, has stirred up excitement in the market with a new announcement regarding EigenLayer (EIGEN). On October 16, Binance revealed that EigenLayer will now be included in their VIP lending and flexible interest rate assets. The move has generated considerable enthusiasm among global investors, although the token price has dropped by 4% following the news. This price movement has led to increased speculation about the future performance of EigenLayer.
Binance Increases Support for EigenLayer
According to Binance's official announcement, EigenLayer has been added to the platform's flexible lending and VIP lending categories. Flexible lending allows users to borrow funds at interest rates that adjust based on market conditions, while VIP lending caters to high-volume users, offering more favorable terms and larger credit limits.
This move is seen as part of Binance’s ongoing efforts to attract more investors to the platform. Bit Journal reported that Binance has been continuously supporting the EigenLayer project, thereby increasing investor confidence.
Despite these positive developments, EigenLayer’s price has declined, falling 6% to $3.33 as of October 16, with a weekly decline of 19%. This drop is believed to be related to the unlocking of 11.22 million tokens on October 15.
Market Reaction to Binance's Latest Move
Data from market analytics platform Coinglass shows that EigenLayer’s open interest (OI) in futures trading fell 7% to $132.06 million. Additionally, the company’s derivatives trading volume fell 13% to $357.61 million. Despite the downturn, investors are still keeping a close eye on EigenLayer, with many believing that Binance’s continued support could lead to a potential bull run, similar to Catizen (CATI), which surged more than 400% after its listing.
New and updated trading pairs for BNSOL and KLAY
In addition to the EigenLayer announcement, Binance also introduced a new trading pair for BNSOL/USDT, scheduled to launch on October 17, 2024. Binance will also enable a trading bot for this pair and accept BNSOL as collateral for both cross-margin and isolated-margin trading.
Furthermore, Binance has announced the rebranding of KLAY to KAIA . As part of this transition, all KLAY trading pairs will be removed on October 28, 2024, and deposits and withdrawals for KLAY will be paused. Trading for the new KAIA/USDT pair will begin on October 31, 2024, marking a new chapter for the token.
As Binance continues to expand its services and support for major altcoins such as EigenLayer, BNSOL, and KAIA, investors are closely monitoring these developments. While the market remains volatile, the opportunities presented by the Binance platform continue to attract the attention of both retail and institutional investors.