Binance Chain and Binance Smart Chain are evolving and changing their names to BNB Chain.
The change has been announced by the world’s largest exchange on its official channels.
What is the BNB Chain of Binance
As explained by Binance itself, BNB stands for Build and Build. Binance’s token also changes its name and only the term BNB remains and no longer Binance Coin. It will remain the blockchain’s governance token, which is necessary to execute transactions.
The BNB Chain will be composed as follows:
- BNB Beacon Chain and BNB Chain Governance, previously known as the Binance Chain;
- BNB Smart Chain (BSC), formerly known as Binance Smart Chain, compatible with EVM and multi-chain hubs.
How it will work
The name change also points to new developments. BNB Chain will bring new features such as:
- scaling towards multiple blockchains;
- increased BSC performance;
- new governance mechanisms;
- improved scaling solution and set of block validators.
The BNB Chain is intended to remain open and decentralized and will progress with the support of the community.
The rebranding is not a simple name change, but a real evolution towards MetaFi, a synthesis between Metadata (not metaverse) and DeFi, on which Binance clearly wants to focus.
Binance explains that MetaFi encompasses concepts such as Metaverse, DeFi, GameFi, SocialFi, Web3 and NFTs.
“MetaFi will allow for a wide range of blockchain functionality to merge in one meta ecosystem, and it will be interoperable thanks to defined metadata standards used across various platforms and blockchains.
MetaFi can include DeFi products or a mix of fungible and non-fungible tokens or assets coupled together with community governance such as Decentralized Autonomous Organizations (DAOs)”.
MetaFi is nonetheless linked to the metaverse. The aim is also to contribute to the mass adoption of digital assets by providing new use cases.
“Combining these different blockchain projects enables a full-fledged parallel ecosystem serving users from around the globe. None of this will be possible without stable and interoperable projects developed with multi-chain functionality and bridges that will facilitate the enormous volume of asset and data transfers”.
The success of Binance
Binance is not only the world’s largest exchange but is a true ecosystem in the crypto world. In addition to the exchange, Binance has a wallet, the Trust Wallet, owns the CoinMarketCap website, and above all has developed the Binance Smart Chain which has become one of the beating hearts of DeFi, competing with Ethereum.
Compared to the Ethereum chain, the Binance Smart Chain is much more scalable, faster and cheaper. This has resulted in the BSC being at times even more widely used than Ethereum.
The evolution into the BNB Chain will help to accelerate the overtaking of Ethereum, consolidating its leadership in the sector. All this while waiting for Ethereum’s relaunch with the move to Proof-of-Stake.