Binance, a leading crypto exchange, announced on Monday the launch of its much-anticipated Bitcoin mining pool.
Dubbed Binance Pool, it will be integrated with the exchange’s ecosystem of products including spot exchange, derivatives products, lending services, and many more.
Commenting on the new service, Changpeng Zhao, founder and CEO at Binance, said: “As an integral part of the global crypto market, empowering miners will therein enable significant growth and scale in the larger industry. With Binance Pool, we aim to establish a comprehensive platform for miners that will bring more possibilities to the mining industry by bridging traditional mining to financial services.”
It will challenge the top mining pools
The press release shared with Finance Magnates detailed that the mining pool will support both proof-of-work (PoW) and proof-of-stake (PoS) consensus mechanisms for mining. However, initially, only Bitcoin mining services will be offered.
With a 0 percent mining fee, the new Bitcoin mining pool has added almost 36,000 workers generating a total hashrate of 1.73 EH per second, as of press time.
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Notably, other key Binance competitors – OKEx and Huobi – are also offering similar services. Both exchanges launched their own mining pools in August and September last year, respectively, which quickly gained their spot in the list of top ten mining pools.
Meanwhile, BytePool, one of the top ten Bitcoin mining pools, shuts its operations to jump into the altcoin market.
Binance has a massive user base on its exchange platform and now the platform is expanding to every possible crypto-related business, creating a monopoly in the market.
Its recent acquisition of Coinmarketcap.com, a crypto market data aggregator, for $400 million raised a lot of eyebrows in the industry as it is a go-to platform for traders.
The exchange also launched a new proprietary blockchain recently, supporting smart contracts and all existing apps on Ethereum.