What is Babylon | Formerly Kensho Finance? Recent News, Fundraising and Token

Key Takeaways

• Babylon, formerly known as Kensho Finance, is a pioneering DeFi protocol that enables Bitcoin holders to stake their assets securely across various blockchain ecosystems, bridging traditional finance with decentralized applications.
• The platform stands out for its emphasis on security, using advanced cryptographic techniques and multi-chain compatibility to minimize risks associated with Bitcoin staking in DeFi.
• With its native token, BBN, Babylon offers users governance rights, staking rewards, and ecosystem incentives, positioning it as a key player in the growing Bitcoin DeFi sector.

What is Babylon | Formerly Kensho Finance?

Babylon, previously operating as Kensho Finance, is an innovative DeFi protocol designed to integrate Bitcoin into decentralized finance ecosystems. Launched in 2023, it addresses the long-standing challenge of utilizing Bitcoin's liquidity in yield-generating activities by providing a secure staking mechanism. The project rebranded to Babylon to reflect its expanded vision of creating a more interconnected and efficient blockchain landscape. By leveraging cutting-edge technology, Babylon allows users to earn rewards on their Bitcoin holdings without compromising on security, making it a vital bridge between proof-of-work assets like Bitcoin and the broader DeFi world.

How Does Babylon | Formerly Kensho Finance Work?

Babylon operates by utilizing a trust-minimized bridge that connects Bitcoin to other blockchains, enabling users to stake their BTC in a secure environment. The protocol employs a proof-of-stake consensus mechanism on supported chains, where staked Bitcoin is represented as wrapped tokens, such as BAB-tBTC, which can then be used in DeFi applications for lending, borrowing, or liquidity provision. This process involves smart contracts that lock the original Bitcoin on a custodial layer while issuing equivalent tokens on the target chain, ensuring seamless interoperability. Overall, Babylon's architecture prioritizes user control and security through decentralized validators and on-chain audits, reducing the risks typically associated with cross-chain transfers.

In practice, users initiate staking by depositing BTC into Babylon's protocol via a user-friendly interface, after which the system handles the bridging and staking logic automatically. This allows participants to earn yields from DeFi protocols while their assets remain protected, with options for quick withdrawals to maintain flexibility.

What Makes Babylon | Formerly Kensho Finance Unique?

• Bitcoin-Centric Innovation: Unlike many DeFi projects that focus on Ethereum or other altcoins, Babylon specifically targets Bitcoin integration, offering a first-of-its-kind staking solution that unlocks DeFi potential for the world's largest cryptocurrency without requiring users to sell or swap their holdings.
• Enhanced Security Measures: The protocol incorporates advanced zero-knowledge proofs and decentralized oracle networks to ensure asset security and prevent common vulnerabilities, setting a new standard for risk management in cross-chain DeFi.
• Community-Driven Governance: Babylon empowers token holders with real influence over protocol upgrades and decisions, fostering a collaborative ecosystem that adapts quickly to market needs and user feedback.

Babylon | Formerly Kensho Finance Native Token

The native token of Babylon, known as BBN, plays a central role in the ecosystem by serving multiple utilities that enhance user engagement and protocol security. BBN is primarily used for governance, allowing holders to vote on key proposals, such as upgrades to the staking mechanism or partnerships with other DeFi projects, ensuring a decentralized decision-making process. Additionally, BBN holders can stake their tokens to earn rewards, including a share of transaction fees generated from the protocol's activities, which incentivizes long-term participation. The token's purpose extends to providing liquidity incentives, such as bonuses for users who bridge and stake Bitcoin through the platform, thereby boosting overall network adoption. With a total supply capped at 10 billion tokens, BBN is designed to maintain scarcity and value, making it an attractive asset for investors interested in the intersection of Bitcoin and DeFi.

TGE Information

Babylon's Token Generation Event (TGE) took place in early 2023 as part of its rebranding from Kensho Finance, raising approximately $20 million through a combination of private sales and public offerings. The event allocated tokens to early investors, team members, and community contributors, with vesting schedules to ensure long-term alignment. Post-TGE, BBN tokens were listed on major exchanges like Binance and Coinbase, driving immediate liquidity and trading volume.