Binance launches first Souldbound token
Binance launches first Souldbound token
Blockchain

Binance launches first Souldbound token

By Vincenzo Cacioppoli - 2 Aug 2022

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Binance has launched BAB, the first Soulbound token on the BNB chain, as a decentralized solution to KYC (Know Your Customer) requirements for exchanges. Soulbound tokens can basically be defined as NFTs that are not transferable between wallets.

The potential of the SoulBound token

kyc binance
The BAB token will be shown in the wallets to indicate that the owner has passed the KYC on Binance

The inability to trade these particular NFTs allows them to be used to identify the wallet holder on the blockchain. The data attached to the NFT can be used to identify actions recorded by the wallet, such as interaction with a dApp or smart contract.

In other words, these NFT tokens represent a real digital identity card of a user. They represent a real digital certification, in which certain personal data of a person are entered, including date of birth, marital status, educational degree up to even membership in certain organizations or associations.

This data will also eventually be available for use by third-party protocols.

Initially launched as a pilot project, BAB will at least initially be accessible only through the Binance mobile app. During minting, users will be asked to select a wallet address – either a current one or a button to create a new one – where the SBT will be stored.

“Soulbound Tokens will play a significant role in the way web3 credentials will work in a Decentralized Society… We foresee numerous use cases for the BAB token, and we will actively collaborate with the community to develop this revolutionary vision of decentralized society”,

said Binance CEO Changpeng Zhao.

This is not the first ever Souldbound launched, but it is the first one launched on BNB. Phala Network announced in June that it had launched Soulbound tokens tied to specific game avatars. 

Idexo also recently announced support for Soulbound tokens within its web3 SDK. Soulbound tokens were created in May 2022 by economist and social technologist E. Glen Weyl, lawyer Puja Ohlhaver and Ethereum creator Vitalik Buterin.

SBTs were created to contain all the characteristics of a person and that constitute the social relationships found on Web3 networks. In other words, they are tokenized, nontransferable representations of the myriad traits, characteristics and outcomes that make up a person or entity.

Binance has already made it known that it is working on launching new STBs in the future which have modes of use related to security and privacy.

Vincenzo Cacioppoli

Vincenzo was born in Genova but lived most of his life in Milan. He has a degree in political science. He is a journalist, blogger, writer, and marketing and digital advertising expert. After a long experience in traditional marketing, he started working with the web and digital advertising in 2011, creating a company called Le enfants. Passionate about the web and innovation, in 2018 he started exploring the topics related to blockchain technology and cryptocurrencies. Independent cryptocurrency trader since March 2018, he now collaborates with companies in the sector as a content marketing specialist. In his blog. mediateccando.blogspot.com, he has long been primarily focused on blockchain, which he considers to be the greatest technological innovation after the Internet. His first book about blockchain and fintech is scheduled for release in November.

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