At its core, BSC is a platform for developers to create decentralized applications (DApps). Binance, the world’s No. 1 cryptocurrency exchange, saw the writing on the wall years ago. Today, BinanceCoin (BNB), the native token of the original Binance trading platform, stands out as the 4th largest cryptocurrency by market cap.
As DApps continue to develop on the platform, the offerings on BSC are sure to grow, meeting the demand of a burgeoning market. Cream is a popular lending protocol on Ethereum that is also deployed on BSC. Chances are if you’re reading this, you already have a Binance account.
This way, you can use a familiar UI when interacting with BSC. Something you might already be familiar with is MetaMask. If not, no worries, we’ve got your back – we have a guide on How to Use MetaMask. That article can give you a walkthrough of the mechanics of the blockchain, while this one will provide practical information about how to get started.
Is Binance a good exchange?
You can get it as a browser extension for Chrome, Firefox, and Brave. First, if you’d like to get an overview of the technology behind BSC, check out An Introduction to BNB Smart Chain (BSC).
As a popular option with fantastic benefits, CAKE is likely not finished taking market share from larger competitors in the space, like UNI. BSC is a much more centralized blockchain than Ethereum’s. Dubbed the blockchain trilemma, decentralization, security and scalability are intricately linked; improvement of 1 requires the sacrifice of the others. In the case of BSC, decentralization was sacrificed for scalability. While similarly utilizing smart contracts, transactions on BSC are faster and cheaper than those on the Ethereum blockchain. And saving money on transactions is probably the best reason to switch over.
Why is MoonPay the best way to buy Binance Coin?
Offering the best farms in DeFi and a lottery for CAKE, the benefits of the platform help to explain the explosion of recent interest in the DEX. Users of the PancakeSwap DEX are able to earn passive income through both staking and yield farming. Similar to staking for interest, CAKE is rewarded to users for simply holding CAKE on the exchange.
New and exciting dApps are getting launched all the time. You can track them on DefiStation, DappRadar, or the Math dApp Store. Just make sure to select BNB Smart Chain (BEP-20) when withdrawing funds to your external wallet. Binance Wallet is another option that you have for certain apps on BSC.
DeFi on BSC
In general, the offerings found on BSC are more volatile and considerably less robust than their ERC-20 counterparts. Allowing a number of low quality DApps into the space has done some damage to the chain’s reputation. Besides, as the Ethereum blockchain transitions to Eth2, the need for cheaper, faster transactions may become moot.
BNB Smart Chain (BSC) has been booming with activity. Ranging from token swaps to decentralized money markets and cute NFTs, there are many options to earn yield or simply to have fun. Otherwise, if you know Ethereum, you’ll feel right at home. Even the addresses start with 0x they are so similar.
It allows users to create liquidity pools for BEP-20 tokens – just like many other AMMs. Venus Protocol is a borrow-lending protocol similar to Compound or Aave on Ethereum. It’s a decentralized money market where you can borrow and lend BEP-20 tokens with algorithmically set interest rates. As momentum builds in the cryptocurrency market, institutions are readying for an explosion of participants to usher in a brand new all-time high. With a bird’s eye view of the action, the world’s top crypto exchanges can see the current trend most clearly. Venus can be an option to earn interest on them or use them as collateral to borrow against to participate in yield farming.
What is Binance Smart Chain?
The easiest option may be to simply withdraw from your Binance account to a BSC wallet. BNB Smart Chain supports the BEP-20 token standard, while BNB Beacon Chain, the home of Binance DEX, supports the BEP-2 token standard. If you’d like to trade on Binance DEX, you’ll need to use BEP-2 tokens, while if you’d like to use dApps on BSC, you’ll need BEP-20 tokens. So, now we have plenty of wallets to choose from, but how can we move funds to the chain? We can withdraw from our Binance account or use the Binance Bridge.
- Users of the PancakeSwap DEX are able to earn passive income through both staking and yield farming.
- You can track them on DefiStation, DappRadar, or the Math dApp Store.
- Just make sure to select BNB Smart Chain (BEP-20) when withdrawing funds to your external wallet.
- As DApps continue to develop on the platform, the offerings on BSC are sure to grow, meeting the demand of a burgeoning market.
Save up to 10% on fees at GMX with referral code CCFacts. MoonPay offers a fast and easy way to buy BNB with credit card. DeFi tokens such as Alpaca Finance (ALPACA) also stand out among a bustling crowd of BSC altcoins vying for your attention. BNB Smart Chain has seen some significant development and user activity, and it’s only bound to increase in the future.
PancakeSwap
There is a growing number of charities that accept donations in Binance Coin and cryptocurrency. Access DeFi on the Binance Smart Chain to multiply your returns via staking, yield aggregator vaults, and more BNB DeFi applications. Use your Binance Coin to purchase goods and services from any participating merchant that accepts Binance Coin and cryptocurrency. Convert your Binance Coin to another cryptocurrency directly in your wallet or by using a DeFi application. It is, but actually, it’s quite easy to connect it to BSC.
We explain how to obtain BNB and use Binance Smart Chain even if you can’t access Binance to get BNB. While not as diversified as Ethereum’s DApp selection, BSC still holds incredible potential. PancakeSwap alone has shown that BSC DApps can pull market share from their ERC-20 competitors. But the platform doesn’t come without its share of drawbacks.
But BNB and the centralized exchange it’s linked to run on an independent blockchain known simply as Binance Chain. Binance Smart Chain (BSC) is a parallel blockchain offering by Binance. Importantly, BSC functions with smart contracts — allowing it to compete directly with Ethereum (ETH). PancakeSwap is the number one automated market maker (AMM) on BNB Smart Chain. Similar to Uniswap or SushiSwap, you can do token swaps for BEP-20 tokens on PancakeSwap. You can also earn passive income by providing liquidity to one (or more) of the liquidity pools.
Trust Wallet is one of the easiest mobile wallets to use, so if you’d like to use BSC from your pocket, it’s among the best options. First things first, you’ll need a wallet to interact with the applications on BSC. The good news is that you have quite a few options to choose from. This method was chosen because anyone can use this method, unlike alternative methods that not everyone can use. First, check out the notes on Binance Smart Chain below, then see the guide below for the walk-through.
Just be aware of impermanent loss before depositing. So, now we’ve got a wallet, and we’ve transferred some funds to it. Let’s take a look at some of the most popular decentralized applications on BSC. For many traders, the benefits of using BSC are worth the effort involved in setting up a Binance account and transferring a little BNB. The following step-by-step guide will show you exactly how to use Binance Smart Chain. The Spartan Protocol is a synthetic asset protocol on BSC.
You can think of it as similar to yearn on Ethereum. It automatically tries to find the most optimal way for you to earn a yield on your deposits. Venus also enables a decentralized stablecoin called VAI, which is backed by a basket of cryptoassets. In this way, you could think of Venus as a hybrid of Compound and MakerDAO on BSC. And don’t forget that these are just a few of the biggest ones.
