Binance Smart Chain

Binance Smart Chain is a smart contract blockchain based on Ethereum where developers can build and deploy decentralized apps (dApps) and initial coin offering (ICO) projects. It is built to be fully compatible with Ethereum Virtual Machine (EVM) and enables the transfer of data and value between the two networks.

Binance Chain, mostly used for its decentralized exchange (DEX), was launched in April 2019 as a high-performance blockchain specifically designed for the exchange and transfer of crypto assets.

A decentralized exchange, or DEX, is a non-custodial crypto exchange that allows users to trade cryptocurrencies in a peer-to-peer fashion. This means that users are able to retain full control over their funds when trading on a DEX.

In contrast, centralized exchanges like Coinbase act as custodians of user funds, meaning they hold the private keys and thus full control of the assets being traded on their platform.

Binance Chain was launched in April 2019 as a high-performance blockchain specifically designed for the exchange and transfer of crypto assets. Binance Chain uses Bytom’s (BTM) consensus protocol Tensority – Proof of Work (PoW) algorithm created by Bitmain with an intent to secure the network against attacks from Sybil nodes and other 51% attacks.

In August 2020, Binance announced the launch of its Smart Chain, which will co-exist with Binance Chain to create a multi-chain ecosystem.

Binance Smart Chain is intended to provide a layer-2 solution similar to Ethereum in which developers can build and deploy decentralized apps (dApps) and initial coin offering (ICO) projects. It will also enable other blockchain projects to access the liquidity of the Binance exchange.

There are four main differences between Binance Smart Chain and Ethereum:

• The consensus mechanism used by Binance Smart Chain is Proof-of-Staked Authority (PoSA), whereas Ethereum uses Proof of Work (PoW). PoSA is an innovative consensus mechanism that combines delegated proof of stake with a novel validator selection algorithm, allowing any token holder to participate as a validator. This means that anyone who stakes their Binance Coin (BNB) tokens on the network will be eligible for validation rewards. PoW, on the other hand, requires that users purchase expensive mining equipment in order to solve complex cryptographic math problems and earn block rewards.
• Binance Smart Chain allows for interoperability with its own chain, Binance Chain, via cross-chain transfers through atomic swaps or relays with private key management built into wallets like Trust Wallet. This allows users to easily move their coins back and forth between chains without using centralized exchanges or relying on third parties like most Bitcoin/Ethereum bridges currently do.
• Transaction speeds on the network have been reported at approximately 2 seconds per block time while Ethereum’s blocks take 15 seconds each due to its current capacity issues (in a later section you’ll learn more about why this slows down transactions). This means BSC could theoretically process up to 1000 transactions per second compared with Ethereum’s 20 TPS limit overtime as both networks grow larger in size over time while still maintaining high throughput rates without increasing costs significantly according to from what we’ve seen so far based on how these two networks were architected from an engineering perspective which makes more sense when we think about it logically because it has fewer nodes & validators than Ethereum does so

On September 1, 2020, Binance completed its first cross-chain transaction between Bitcoin and Binance Smart Chain.

The Binance Chain is a blockchain made by Binance, specifically designed to facilitate the exchange of digital assets. It uses a consensus mechanism called Tendermint’s Proof of Stake, very similar in many respects to Ethereum’s POS consensus. In simple terms, this means that blocks are verified and confirmed by staking a certain amount of tokens.

Binance Smart Chain is a smart contract blockchain that is compatible with Ethereum Virtual Machine (EVM). This means that it has the ability to run decentralized applications (dApps) and perform smart contracts. It can be used as an alternative to Ethereum for dApp developers.

Binance Smart Chain was created as an additional blockchain layer for interoperability purposes, allowing cross-chain transactions between the two blockchains.

Binance is expanding beyond cryptocurrency trading into building dApps with its two new blockchains.

Binance has made its name in the cryptocurrency world as a trading platform, but with the release of two new blockchains – Binance Chain and Binance Smart Chain – the company is expanding beyond crypto trading.

The first of these blockchains, the Binance Chain, acts as an underlying layer for facilitating transfers between users. The second blockchain, called Binance Smart Chain (BSC), is used to build decentralized applications (dApps), which are open-source apps that use a peer-to-peer network to reach consensus on data and transactions instead of relying on a central server like traditional web apps.

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How To Add Binance Smart Chain To MetaMask In 4 Easy Steps

Step 1: Install MetaMask

The first step to adding Binance Smart Chain to your MetaMask wallet is, as you may have guessed, installing MetaMask. If you already have it installed on your browser, proceed to Step 2. If not, go ahead and install it from https://metamask.io/. MetaMask is available for Chrome, Firefox, Brave, and Edge browsers.

Step 2: Create Your Wallet

Step 2: Create Your Wallet

• Click the MetaMask extension in your browser.
• Once you’ve clicked on MetaMask, click the “Create a Wallet” button.
• On the next page, click “Create a Wallet” again. At this point, MetaMask will ask you to set a password for your wallet. Make sure it’s something you can remember! Then click “OK” in the bottom right corner of that new window.
• Now it is time to save your twelve-word seed phrase (which is a recovery phrase). The twelve words are very important! They are what allow you to recover your account if something happens to your computer or phone and you lose all access to it. Do not share them with anyone and make sure they are stored securely and privately somewhere only you have access to. If someone gets their hands on these twelve words, they can recover your account and empty everything out of it immediately so definitely keep these safe! After saving this seed phrase, click “Restore from a seed phrase.”

Step 3: Configure MetaMask To Use Binance Smart Chain

To configure MetaMask to use the Binance Smart Chain Network, you need to follow these steps:

• Select Main Ethereum Network
• Select Custom RPC that appears at the bottom of the list
• In the new screen, add a new network with this information:

Network Name: Binance Smart Chain

New RPC URL: https://bsc-dataseed.binance.org/

ChainID: 56

Currency Symbol: BNB (if it doesn’t autofill)

Block Explorer URL: https://bscscan.com/ (or any other Block Explorer for BSC)

Step 4: Fund Your Wallet

• To buy BNB on the Binance exchange, you can use credit or debit cards or bank transfers.
• To buy BNB on Uniswap, you’ll need to have ETH in your wallet before swapping it for BNB.
• To buy BNB on PancakeSwap, you’ll need to have ETH in your wallet before swapping it for BNB.
• To buy BNB on Ethereum, you’ll need to have ETH in your wallet before buying it for a stablecoin like DAI or USDT (or similar).

Add Binance Smart Chain to MetaMask

To get started, you need to download and install the MetaMask wallet. You can download MetaMask here and install it on your browser of choice.

Once you have installed MetaMask, you will then be asked if you want to create a new wallet or import an existing one.

If this is your first time using MetaMask, select “Create a Wallet,” then hit the “Continue” button.

If you’ve used MetaMask before, select “Import Wallet.” On the next screen, there are two options: importing from a seed phrase or importing from another account type (for example, another browser’s extension). Select either option and follow the instructions that appear on-screen for your chosen method.