Central crypto exchange Binance announced on Tuesday the launch of Binance Bridge 2.0. This feature allows users to link assets from any blockchain, including tokens not listed on the Binance app, to the BNB chain. The tokens linked to the bridge and listed on Binance will be held in the wallet or Spot Wallet, while the unlisted bridge tokens will only be transferred to the wallet.

Users can generate incoming and outgoing tokens between the native blockchain and the BNB chain using standard deposit and withdrawal functions. In the future, Binance is also planning to create an enhanced version of its mobile app so that users can facilitate this type of transfer with a single click. Regarding the development, Mayor Kamat, Binance Product Manager, said:

“By using the Binance Bridge 2.0, we can make decentralized finance available to a wider audience around the world, while providing an easy-to-use experience that provides centralized funding. We are already seeing this through the widespread use of the PancakeSwap Mini app.”
Binance has also implemented a new system for automatic control of token trading in the Binance Bridge 2.0. The exchange will not support overflow tethered tokens, also known as encapsulated assets, except for buffer volumes in hot wallets. Instead, multiple tokens will be printed when users withdraw the attached tokens on the BNB smart chain.

The company indicated that all other generalizations will be backed up by native tokens deposited by users from the original blockchain. When users wish to switch from their installed tokens back to the original tokens, they can list the installed tokens on Binance and redeem the original tokens. At the same time, the excess tokens will be transferred to a cold wallet and burned automatically.

Source: CoinTelegraph

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