Binance Labs, the investment arm of the popular cryptocurrency exchange Binance, said it had invested $12 million into institutional liquidity provider WOO Network’s Series A+ funding round. Shortly after, the latter’s native token skyrocketed by double digits.
Binance Invests $12M in WOO Network
According to an official announcement from Binance, the investment in WOO Network comes on the heels of the project’s recently-concluded Series A completed round in November 2020.
The round saw WOO Network raise $30 million from notable investors such as Three Arrows Capital, PSP Soteria Ventures, Gate Ventures, QCP Capital, Crypto.com Capital, Avalanche, and BitTorrent.
With the latest capital injection from Binance Labs, Woo Network will deploy the funds into expanding its operations beyond its current state through talent acquisition. It also plans to enhance the production of new decentralized products, and research and development.
Providing Liquidity for DeFi Platforms
Since its launch, WOO Network has provided active liquidity to over 40 institutions, trading platforms, trading teams, cryptocurrency wallets, and decentralized application platforms. Some of those include projects hosted on the Binance Smart Chain (BSC) like DODO, 1Inch, DYDX, etc.
Commenting on the development, Peter Huo, Investment Director at Binance Labs, said the firm invested in WOO Network because the project adds value to the crypto market by providing liquidity and zero-cost trading for both on-chain and off-chain.
“We are excited to expand our long-lasting relationship and explore further collaborations, especially on BSC,” Huo added.
Ran Yi, Chief of Ecosystem Development at WOO Network, said:
“When talking about liquidity, Binance has far-and-away the highest concentration of volume and users of any centralized exchange. Getting the opportunity to formalize our relationship with Binance will allow us to rapidly accelerate our growth by working closer with Binance across all their industry verticals.”
Meanwhile, Binance’s investment in WOO Network is the latest from the exchange’s venture capital arm after it announced last month that it had incubated over 100 projects globally since its inception in 2018.
WOO Coin Surges 25%
News of Binance Labs’ $12 million investment in WOO Network saw the project’s native cryptocurrency react positively.
Moments after the announcement, the WOO token surged more than 25% to $1.20 from its initial $0.93, with the market cap crossing the $1 billion mark, according to data on cryptocurrency aggregator platform CoinGecko. Despite retracing slightly since that peak, WOO is still above $1.