Binance sets foot in the mining sector with new PoW and PoS mining pool
The world’s largest cryptocurrency exchange by trading volume, Binance, announced the official launch of its mining pool service. Dubbed Binance Pool, it will offer support for both Proof-of-Work (PoW) and Proof-of-Stake (PoS) mining mechanisms.
The world’s largest cryptocurrency exchange by trading volume, Binance, announced the official launch of its mining pool service. Dubbed Binance Pool, it will offer support for both Proof-of-Work (PoW) and Proof-of-Stake (PoS) mining mechanisms. But, it will kick off with Bitcoin mining services only.
The new mining pool will also provide miners with a wide range of opportunities never offered before. Miners will be able to access all the services offered by the cryptocurrency exchange. These include futures, spot, and margin trading, as well as lending and staking, according to Binance’s founder and CEO Changpeng Zhao.
“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.”
One of the main purposes behind the new service is to provide miners with stable income and the opportunity to maximize their assets, added Zhao.
“The platform expects to incentivise PoW-based miners to continue the mining efforts in the events of halving or downward price movements, and shape the dynamics of PoS-based mining landscape.”
Binance Pool will launch with zero fees until the end of May to encourage miners to join. Subsequently, the rate will be set at 2.5 percent, but those with a larger stake can negotiate to expand the zero rate fee.
Zhao had previously disclosed his intention to launch the new platform after tweeting a picture of the first block mined by Binance Pool claiming to offer the lowest fees in the industry.
The first block ever mined by the @Binance Mining Pool. Still in closed-beta. Going live soon.
As always, LOWEST FEES of any mining pool.
— CZ Binance ??? (@cz_binance) April 24, 2020
While competition is fierce in the mining sector, Binance will leverage its massive user base to position itself as one of the top mining pools worldwide.
Over the last 24 hours, Binance Pool has mined 4 blocks generating an estimated hash rate of 3.08 EH/s and gaining 2.8 percent of all block rewards, according to data from BTC.com.