Crypto custody platform Trustology has extended its services to Binance Chain and plans to offer custodial trading through Binance's non-custodial commutation, Binance DEX.

How exactly tin custodial trading happen on a non-custodial exchange like DEX? Binance recently announced plans to build a "smart chain" running parallel to the existing Binance Chain. In more physical terms, imagine using multiple modes of transport such as an machine and an aeroplane, for example, to get from bespeak A to point B.

Co-ordinate to Trustology, this unlikely matchup may, in fact, encourage the creation of decentralized applications and an indication the Binance network is "likely to pursue the fast-growing DeFi ecosystem."

The platform said the move would allow users to make transactions with the Binance Coin (BNB) and all third-party cryptocurrencies with total custody over their assets.

Trustology Chief Executive Officer (CEO) Alex Batlin said:

With the value locked in crypto DeFi markets hitting the $1 billion milestone earlier this year, a quarter of what it was worth a yr ago, the market is poised for continuous growth. Binance developing their ain DeFi ecosystem is an obvious win for the Binance Smart Chain, and for united states of america equally custodians as we're always striving to offer our clients equally many opportunities as possible to maximise earning potential in the financial markets.

Batlin has been very vocal well-nigh his excitement over DeFi. Speaking to Cointelegraph in April, the CEO said when DeFi starts working, "it potentially could be one of the most trusted liquidity pools because it is decentralized, therefore much more than global."

However, Batlin believes platforms supporting decentralized finance need greater scalability in order to facilitate the mainstream adoption of DeFi protocols. The CEO has said Ethereum two.0 is "getting there." Currently, merely 28 wallets, by and large non-custodial, support Binance Chain.

One of the reasons a lot of custodians don't support Binance chain and the DEXs, is considering they have a different architecture which poses a number of challenges, especially when it comes to signing transactions. Our unique re-signing technology has enabled united states to quickly support Binance Concatenation in a custodial fashion, and as and when Binance Smart Chain comes on board we'll exist able to support any awarding or new asset type created on top of that similar we exercise with Ethereum.

There is an opportunity for custodians like Trustology to do good from the expansion of the DeFi ecosystem. For instance, big-four accounting firm KPMG reported in March that more than than $nine.8 billion in cryptocurrency has been stolen by hackers since 2022, revealing a greater need for institutional custody.