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Crypto Derivatives DEX Token Aevo Rises 10% as Binance Labs Reveals Investments
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Binance Labs did not disclose the size and form of the investment.
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Aevo saw a surge in trading activity before the token’s launch in March, but volumes have faltered since then.
The native token of decentralized crypto derivatives trading platform Aevo rose on Tuesday after Binance Labs, the investment and research arm of cryptocurrency exchange giant Binance, revealed in a blog post who invested in the protocol.
AEVO rose 10% to $0.9, its highest price since mid-May. Even so, it’s still nearly 70% below where it started trading in March at around $3, CoinGecko data Shows.
Binance Labs did not disclose the size of the investment, how it acquired the stake and whether it purchased tokens.
Aevo is a rebrand of Ribbon Finance and is built on its own Ethereum layer-2 (L2) network using the OP technology stack. It allows users to trade cryptocurrency futures, options and perpetual tokens before their launch using an off-chain order book, settling trades on the Ethereum blockchain.
The platform enjoyed heavy trading activity in February and early March, surpassing $1 billion in daily derivatives trading volume, largely thanks to agricultural incentives ahead of the token’s launch. Traffic has faltered since then, recently clocking well below $100 million a day, Defillama data show.
To know more: Billion-dollar volumes and then a sharp decline lead to accusations of wash trading on Aevo
“As part of the future roadmap, Aevo will launch deposit strategies, divest Aevo products and staking,” Binance Labs said. “It will expand its ecosystem of derivative products by allowing manufacturers to implement their own dApp without permission on Aevo L2 to take advantage of its growing user base and unique features.”