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What is a BNB smart chain?

by cross chainbridge about a month ago in smart contract
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BNB smart chain

In the crypto asset industry in 2021, we often heard the terms DeFi (decentralized finance) and NFT (non-fungible token), but we also paid a lot of attention to smart contract chains such as Ethereum, which is the basis of these applications. Gathered.

Ethereum, Solana blockchain, Avalanche blockchain, etc. are listed , but BSC (Binance Smart Chain) attracted a lot of attention in the first half of 2021.

As the name implies, it is a blockchain unique to Binance, a major cryptocurrency exchange.

This time , I explained about BSC (Binance Smart Chain)Bridge Smart Contract Development Services from its features to recommended projects and how to buy it .

If you want to use the project on BSC, please refer to it.BNB Chain (BSC) is a blockchain built to run smart contract-based high-performance applications.

BNB chain (BSC) is an independent blockchain, the gas cost is cheaper than other chains, and it is compatible with Ethereum.

Famous DeFi projects such as Decentralized Exchange (DEX) Pancake Swap and Venus that can lend and borrow virtual currencies are being developed on BSC.

The BNB Chain (BSC) ecosystem may expand as applications on BSC increase and GameFi trading volumes increase.

Please note that the use of the BNB chain (BSC) is at your own risk as it is not approved by the Financial Services Agency.

When using the BNB chain (BSC) , Coincheck is recommended as a domestic exchange for sending money to overseas exchanges.

When sending money to your wallet to use Binance Smart Chain, we recommend Coincheck, one of the largest cryptocurrency exchanges in Japan.

What is BSC (Binance Smart Chain)?

BNB Chain (BSC) is a blockchain built to run smart contract-based high-performance applications.

BSC allows developers to build decentralized applications (DApps) and users to cross-chain cryptocurrencies with low latency and high capacity.

Concerns about rising Ethereum gas bills have led developers and users of applications to look for other options, which drew a lot of attention in early 2021.

Unlike Binance Chain, the blockchain originally developed by Binance, BSC boasts smart contract functionality and compatibility with Ethereum Virtual Machines (EVMs).

Built to be cross-chain compatible with Binance Chain, users can enjoy the advantages of both, cross chain bridge development but BSC is an independent blockchain and can run even if Binance Chain goes offline.

Features of BSC

Now that you have an overview of the BNB chain (BSC), I will explain the features of the BSC.

Features of BSC

  • Independent blockchain with low gas bill
  • Compatibility with Ethereum
  • Maintaining blockchain with PoSA

Independent blockchain with low gas bill

BNB chain (BSC) is an independent blockchain, and the gas cost is overwhelmingly cheaper than other chains .

Most noticed when Ethereum fees soared.

In BSC, 1 Gwei is set to 10–9 or 0.000000001 BNB, and as of January 3, 2022, the average gas price is about 6.6 Gwei .

On the other hand, Ethereum has 1Gwei = 0.000000001ETH, and the average gas price is about 107Gwei as of January 3, 2022.

The calculation method of gas cost is defined as “gas cost = gas price x gas limit”, but even if you compare only the gas price, you can see that BSC is cheaper.

Also, the gas limit may be set high, but the gas limit fluctuates depending on the number of transactions, and in most cases the gas fee is calculated at a value lower than the gas limit, so the fee is much higher than Ethereum. Is cheaper.

Compatibility with Ethereum

The BNB Chain (BSC) is EVM compatible and was launched with support for Ethereum’s rich tools and DApps.

Theoretically, it would be easier for developers to move projects from Ethereum to BSC .

For users, applications like MetaMask can easily be configured to work with BSC and applications on BSC can be used.

Since ultra-high interest rate virtual currency management such as staking and farming, which is a feature of decentralized exchange (DEX) and Decentralized Finance, Build a cross chain bridge can be used at a lower fee than Ethereum, it is an investment that is worrisome for users with small funds and fees. It has become popular with homes.

Maintaining blockchain with PoSA

The BNB Chain (BSC) is a Proof of Staked Authority (PoSA) that combines both the Proof of Authority (PoA) and the Delegate Proof of Stake (DPoS) to achieve network consensus and blockchain security. Achieves maintenance .In PoSA, there is an elected validator that checks the transactions on the network in order, and the block is generated by the PoA method considering the stake amount and the reputation in the community.

This consensus model allows BSCs to achieve block times of approximately 3 seconds and low fees .

It is also run by 21 community validators.

The validator will be rewarded with the transaction fees incurred on the proposed block once it is added to the chain.

BSC project

Now that you understand the characteristics of BSC (Binance Smart Chain), here are five popular projects at BSC.

Popular project at BSC

  • PancakeSwap
  • Venus
  • Pancake bunny
  • BakerySwap

PancakeSwap is the most popular automated market maker (AMM) model decentralized exchange (DEX) on the BNB chain (BSC).

It is very similar in design to Uniswap and SushiSwap on Ethereum, has a large amount of liquidity, a wide range of features, and a large user base.

Designed to securely trade Binance Coins (BNB) and a huge variety of BEP-20 tokens without losing your private key, all transactions on Pancake Swap are automatically executed via smart contracts. , Eliminates counterparty risk altogether .

PancakeSwap is also open source, has a public website and smart contract code, and is made up of various engineers .

Although the team behind PancakeSwap is completely anonymous, the platform has been audited by several prominent blockchain security companies, including Certik and Slowmist, making it a relatively secure DEX.

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About the author

cross chainbridge

Safe and Secure Blockchain Technology Service Provider

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