- Binance has invested more than $1 billion in the BSC ecosystem.
- Binance will manage all technical needs for all users during this time.
The Binance Smart Chain (BSC) is now the BNB Chain. BSC, crypto exchange Binance’s layer-1 blockchain, recently announced the merger of the Binance Smart Chain and the Binance Chain to form the BNB Chain. The reactivation of Binance’s layer-1 or basic blockchain is part of a strategy to connect it to the protocol’s governance token, BNB to grow and build on decentralization.
Binance has invested almost $1 billion in the BSC ecosystem to help it compete with the Ethereum network and other layer-1 blockchain systems, a fight that is only going to become more intense. BSC’s centralization has been criticised, and this move aims to address that.
Token For BSC Ecosystem
Binance envisions positioning BNB as a token for the BSC ecosystem, which serves several sectors, including GameFi and the non-fungible token (NFT) industry. That should help make BNB essential to developing what Binance calls “MetaFi.”
According to Binance CEO Chanpeng Zhao, “BNB” is an abbreviation for “Build’ N Build.” The recently released BNB Chain comprises the BNB Beacon Chain for BNB Chain governance (i.e., staking and voting) and the BNB Smart Chain, which remains Ethereum Virtual Machine-compatible.
BNB hard fork and upgrade will be supported by Binance, according to the most recent updates. At approximately around 06:00 UTC on April 12th, 2022, the BNB Beacon Chain (BNB) upgrade and a hard fork will occur (UTC). The BNB network’s deposits and withdrawals will be halted at 2022-04-12 05:55 (UTC).
The update will bring a slew of new features. The trading of tokens placed over the BNB network will not be impacted by the network update and hard fork, as stated by Binance. However, Binance will manage all technical needs for all users during this time. When Binance determines that the updated network is stable, it will reopen the BNB network’s deposits and withdrawals without notifying users again.