Binance Smart Chain (BSC) is starting to match Ethereum (ETH) in some important numbers on the network, but it all depends on a single application, according to the DappRadar report published on Friday (12).
“In January, BSC reached new heights in terms of volume of transactions and exclusive active portfolios. If the trend continues in February, BSC could become the number one blockchain in terms of transaction volume, ”summarized the researchers.
In January, the total volume of transactions at the BSC was $ 15 billion. This increased considerably compared to previous months.
But Binance Smart Chain has all its eggs in one basket. Of the 66 BSC-based decentralized applications (dapps) tracked by DappRadar, Venus (XVS) accounts for more than 90% of the total transaction volume. With $ 24 billion in value already transferred during the first third of February alone, it is now the largest dapp (in all blockchains) by this metric.
In comparison, the Ethereum-based dapp Curve, which is currently the second largest dapp in all blockchains, generated just over $ 18 billion during the same period.
There are some big differences between Ethereum and Binance Smart Chain. The former has a much larger ecosystem with more widely spread transaction numbers among a larger number of dapps. It is also fully decentralized with thousands of developers. In contrast, Binance Smart Chain is supported by a centralized exchange and has centralized elements to process so many transactions at such a low cost.
This rapid growth, however, has managed to add value to Binance Coin (BNB). Yesterday, the token reached a new historic high of $ 100 and today it continues to rise to around $ 130.
While PancakeSwap, another big dapp at BSC, cannot boast of similar performance in terms of its transaction volumes, it is ranked second by the total number of daily active wallets – just 12,000 users behind Uniswap.
"The reasons behind this increase may be that PancakeSwap added more gamification recently, adding non-fungible tokens (NFTs), profiles and teams," noted the researchers, adding: "Through these playful elements, they want to integrate new users into DeFi ecosystem, giving them early access to liquidity pools and exclusive digital collections. "
In the near future, PancakeSwap also plans to reward its top users with governance credits.
While the native BSC dapps are showing great results on their own, Binance is also actively working on expanding its ecosystem. For example, the exchange announced a $ 10 million fund to support projects in Polkadot and a $ 2.4 million funding for Plasm Network.