Key takeaways:
- Anchor Protocol, a borrowing and lending protocol built on Terra blockchain, is the latest project featured on Binance Launchpool
- Binance users can stake their BNB, BUSD, and LUNA holdings to farm the native ANC token rewards
- There are a total of 2 million ANC tokens allocated for Binance Launchpool users
Earn ANC by staking BUSD, BNB, and LUNA, the farming period ends February 24
Binance, the world’s largest digital asset exchange, has introduced Anchor Protocol (ANC) on its Launchpool platform. Binance users will have the opportunity to use their Binance USD (BUSD), Binance Coin (BNB), and Terra (LUNA) funds to earn staking rewards in ANC tokens. The farming period starts on January 26 and ends on February 24.
Anchor Protocol is a decentralized finance (DeFi) lending and borrowing protocol offering low-volatility yields on Terra stablecoin deposits. The platform’s native ANC tokens are used to distribute staking rewards, incentivize borrowing, and provide governance functionality on the protocol.
Anchor Protocol consists of bonded assets that allow stakers to gain additional exposure to the crypto market in the form of higher liquidity, and a money market, a platform for lending out deposited Terra stablecoins to borrowers. Last but not least, the protocol’s loan liquidation mechanism ensures that one percent of the liquidated collateral is used to purchase ANC, which positively affects the supply and demand dynamics of the token. To learn more about the Anchor Protocol, check out this helpful article posted on the Binance Research webpage.
There are a total of 2 million ANC tokens allocated to the Launchpool. 10% of the allocated ANC tokens will be distributed to BUSD stakers, 70% to Binance users that contributed their BNB, and the final 20% is reserved for LUNA stakers. At the time of writing, Binance customers have the opportunity to earn 1.67% APY on their BUSD, 2.22% APY on their BNB, and 21.72% APY on their LUNA pool investment. Keep in mind that rewards are subject to change and updated hourly.
The ANC token is trading on Binance in BUSD, USDT, and BTC trading pairs. The saving protocol’s token is currently changing hands at $1.06, down 12.5% in the last 24 hours.
