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The Binance Smart Chain is giving way to the BNB Chain!

Binance SmartChain is getting a makeover!

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Long in second place after Ethereum in the world of DeFi, the Binance Smart Chain suffered from a persistent paradox. Despite massive use, it has a bad reputation among the most demanding users. Considered an aging blockchain , it needed to be rejuvenated. With a change of name and orientation, Binance wants to revive its creation.

  • Binance ‘s two blockchains
  • An unexpected revival thanks to gaming
  • the BNB Chain : hope for a breath of fresh air?

Back To Binance Smart Chain History

 

Binance very quickly sought to create a blockchain to develop its own payment network and then its ecosystem. From 2018, the Binance Chain is set up. We know it mainly as a means of payment in BEP 2 but we forget that it was Binance’s only blockchain for two years . Designed from Tendermint, it has an architecture close to other Cosmos blockchains. However, the IBC (Inter Blockchain Communication) was never activated and Binance left it isolated.

 

The Binance Smart Chain that appeared in 2020 has an Ethereum Virtual Machine (EVM) which allows it to be compatible with the Ethereum universe . This second blockchainexperienced its heyday between summer 2020 and summer 2021. Since September, the opening of many ecosystems has considerably reduced its appeal. In addition, the many interestless or even malicious tokens have tarnished its reputation. Fans of decentralized finance then turned away from these protocols, which allowed Terra to take second place. Still, BNB managed to keep its 3rd or 4th place in terms of capitalization neck and neck with USDT. The dynamism of the Binance platform and the richness of its ecosystem allow the Binance Smart Chain to remain a must.

After Ethereum, The BSC Goes To GameFi

 

However, the revival started a few months ago from an unexpected angle. After the Axie Infinity craze on Ethereum and then its own Ronin blockchain, Play-To-Earns have arrived massively on the Binance Smart Chain. The most popular of them is undoubtedly Thetan Arena which brings together several million players. But many other projects are settling there, including for example Katana Inu, backed by the launchpad company BlueZilla, or the game and metaverse TCG World.

 

This change in direction brought new users to this blockchain, perhaps younger ones. In any case, it puts into perspective the somewhat negative picture that DeFi suggested. BNB therefore did not underperform Bitcoin at all. After its ATH at 692 in May, the BNB has not yet managed to resume its path towards its peak. Its price has remained around 400 dollars for several weeks. It will probably be necessary to reach the recovery of the market to overcome the resistance of 440 dollars. Many projects have been put on hold waiting for better days. In a sense, this enforced downtime is beneficial for improving quality and getting rid of non-value-added projects that have tarnished the image of the BSC.

 

Binance Blockchain Name Change

 

Binance could not be satisfied with this influx of new users. In order for its blockchain to remain among the top blockchains in the cryptosphere for the next few years, it needed to be given a fresh start. It was already necessary to separate the blockchain from the exchange platform in the minds of users. Exit the word “Binance”. We will talk about BNB Chain instead of Binance Chain for the governance chain and BNB Smart Chain for the application chain, even if the unique name of Binance Chain will be used the most. Similarly, BNB now stands for “Build aNd Build”. This construction idea opens the BNB Smart Chain to a new era, that of web3 and MetaFi. This name again is not trivial.

A Passage In The World Of Metaverses

 

It is indeed a question of bringing the blockchain into the era of the metaverse. Indeed, the Binance Smart Chain was lagging behind in this new area that exploded. To improve the performance of the BNB Chain, the number of validators will increase from 21 to 42. This increase will thus allow for better decentralization.

This blockchain turned around MetaFi will be able to accommodate the economy of GameFi, SocialFi and web3. Binance has repeatedly shown its marketing qualities and its ability to take user experience into account. It is therefore certain that this new bet will reshuffle the cards for the year 2022.

After a golden age in 2020 and 2021, it was time for the Binance Smart Chain to get a fresh start. With the transition to BNB Chain, Binance is making it clear that it doesn’t want to miss the metaverse bandwagon. The explosion of the GameFi sector on the Binance Smart Chain in recent months was therefore a prelude to this major change. From an aging blockchain, we can hope that the BNB Chain will regain the status of an avant-garde network!

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