Binance has announced that it is merging its two blockchains (Binance Chain and Binance Smart Chain) under one new ecosystem known as BNB Chain. The new unified blockchain will allow for more innovation and also support its “MetaFi” push.
Binance, the largest cryptocurrency exchange in the world, redesigned its blockchain networks today. Binance announced on Tuesday that Binance Chain and Binance Smart Chain (BSC) would merge into one ecosystem called BNB Chain.
The move also removes the company’s name from its blockchain network, which has been criticized in the past for being more centralized than competitors such as Ethereum.
Binance Chain and Binance Standard Chain are two different blockchains at the moment. Binance Chain is used to transact on Binance’s decentralized exchange, whereas BSC is used to construct decentralized applications and contains smart contract functionality.
However, effective today, the two will be rebranded as part of a single ecosystem, according to Binance. BNB will be made up of two chains: BNB Beacon Chain (formerly Binance Chain) and BNB Smart Chain, according to the exchange.
“BNB has been on its own evolutionary journey towards greater innovation and decentralization, and BNB has transcended Binance in terms of its use cases,” Binance explained.
About the BNB Chain
According to Binance, the new, unified blockchain will allow for more innovation. The startup intends to turn the BNB chain into a hub for the trendiest crypto phenomena at the moment, such as NFTs, DeFi, and the metaverse.
“Above all,” Binance stated, “BNB Chain is a community-driven, open-sourced, and decentralized environment.” “Its health depends on the support of its community of users, developers, validators, and delegators. It’s time for the community to take a flight towards MetaFi now that BNB Chain has received important technological improvements.”
Binance’s umbrella word for all of the latest tech developments is “MetaFi,” which includes the metaverse, DeFi, GameFi, SocialFi, Web3, and NFTs.
Binance’s native currency, Binance Coin, or BNB, will be used to transact on the new BNB Chain. BNB is a very popular cryptocurrency: it is the world’s fourth largest digital asset, with a market capitalization of $72 billion and a daily trading volume of $1.9 billion.