Binance to allocate up to $2 billion to its crypto industry support fund

Binance will allocate up to $2 billion to its crypto industry support fund, according to the exchange’s blog on its official website.

The Exchange notes that it has established the Industry Recovery Initiative (IRI), a new co-investment opportunity.

“Initially, Binance will set aside $1 billion for IRI-related investment opportunities, with the intention of increasing this amount to $2 billion in the near future if the need arises. As of now, Jump Crypto, Polygon Ventures, Aptos Labs, Animoca Brands, GSR, Kronos, and Brooker Group have also pledged to participate with initial combined commitments of approximately $50 million and we expect more members to join shortly.” the message says.

Binance adds that it has already received about 150 applications from companies seeking support under the IRI. “Each co-investor in IRI will have the opportunity to review potential deals and decide for themselves whether they want to participate. We expect some transactions to be unilaterally invested, while others will be co-invested with all or some of the IRI participants.

Earlier, Binance CEO Changpeng Zhao said that industry participants have shown significant interest in a recovery fund that his company is planning to launch to help crypto projects struggling with liquidity after the collapse of rival FTX. According to him, such a fund will help “reduce further cascading negative impact of FTX.”