📊CeDeFi Yield

Centralized finance (CeFi) is one of the pillars of the BounceBit ecosystem, more specifically, centralized custody solutions like Ceffu (previously Binance Custody) support the framework. The custody solutions are the enabler of the underlying yield generation mechanisms. To make BounceBit a “positive-sum game”, a delta-neutral, low risk trading strategy is needed to provide a stable and reliable source of yield. Funding Rate Arbitrage.

CeDeFi is an optional feature on the BounceBit platform.

While funding rate arbitrage offers reliable returns, it requires in-depth research and risk management. BounceBit simplifies benefiting from this strategy. Core of the mechanism is the MirrorX solution by Ceffu. MirrorX is an off-exchange settlement solution that mirrors your assets on the Binance Exchange, without the actual funds ever being on the CEX. The benefits are reduced counterparty-risk, while still having access to deep liquidity on multiple asset markets.

By integrating CeFi with DeFi, BounceBit enables BTC holders to earn yields across various blockchains. We currently accept BTC, ETH, USDT, ETH, BNB and SOL as collateral across multiple blockchains.

BounceBit ensures safety through regulated custody by Mainnet Digital and Ceffu and offers transparency with Ceffu’s MirrorX for on-chain asset tracking. This approach not only addresses compliance concerns but also is important to uphold the trust in the platform. Every move of assets has to be approved by all parties involved.