What is Binance smart chain? Distinguish Binance Chain and Binance Smart Chain

TutorialsOctober 14, 2021

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When learning about Binance or Blockchain technology, you probably already know Binance Smart Chain. However, you still do not understand this technology. The following article will learn about blockchain technology. What is Binance Smart Chain?

What is the Binance smart chain?

What is the Binance smart chain? Why use a smart chain? Distinguish between Binance Chain and Binance Smart Chain wallet addresses

Blockchain is a technology known as a tamper-proof, shared digital ledger that records transactions in a decentralized peer-to-peer network.

Binance Chain BNB (BEP-2 format) is a blockchain technology launched by Binance in April 2019. Its primary focus is on facilitating fast, decentralized (or unattended) transactions.

Binance Smart Chain (BSC -BNB (BEP-20 format) September 2020, is a more intelligent blockchain technology that runs parallel to Binance Chain. BSC provides a high-speed alternative. With low transaction costs serving the decentralized finance (Defi) market instead of Ethereum.Unlike Binance Chain, BSC boasts a 5 second block time, which can transfer crypto-assets cross-chain. Smart contract functionality and compatibility with the Ethereum Virtual Machine (EVM) uses the Proof of Staked Authority consensus protocol to ensure scalability.

BEP-2 represents the token standard on Binance Chain, while BEP-20 represents the token standard on Smart Chain. Forsage uses Binance Smart Chain BUSD BEP-20 and BNB format: BEP-20.

* See more: The complete guide Binance from a to z

Distinguish between Binance Chain and Binance Smart Chain wallet addresses

To distinguish between BC and BSC wallet addresses, we can recognize them with the naked eye.

What is the Binance smart chain? Why use a smart chain? Distinguish between Binance Chain and Binance Smart Chain wallet addresses

  • BUSD BEP-2 and BNB BEP-2 – address on the Binance chain starting with BNB 136ns6lfw4zs5hg4n85vdthaad7hq5m4gtkgf23.
  • In addition, the BEP-2 address requires the use of an unnecessary MEMO to deposit and withdraw BEP-20 funds.
  • The BUSD BEP-20 and BNB BEP-20 addresses on the BSC start with 0x a6f79B60359f141df90A0C745125B131cAAfFD12.
  • On Binance exchange, while withdrawing BNB, you must select network BEP-20 and enter wallet address starting with 0x…

Why use BSC?

Smart Chain has a BEP20 token standard that works similarly to Ethereum’s ERC20 token.
BEP20 is a friendly token loved by developers. Anyone can deploy digital currencies or alternative tokens on BSC.

Digital assets on other chains can be transferred to the Smart Chain as BEP20 tokens at the actual price of the assets on the old chain. Example: Use Binance Bridge to exchange bitcoins (BTC) for BTCB (BEP20) tokens backed by BTC. We can then use the BTCB (BEP20) token in Defi protocols to earn bitcoins. Similarly, ETH, XRP, DOGE … are also done.

  • BSC is a blockchain with many well-known DApp and Defi applications running on the BSC chain.
  • Many Defis from other blockchains have migrated to Smart Chain, and dozens of Smart Chain DApps have appeared. This has helped BSC have rapid user growth since its inception.
  • Gaming and casino DApps or NFTs are also implemented on BSC. This provides BSC users with a variety of experiences and applications when using this blockchain.

How to use Binance Smart Chain?

Step 1: Download Wallet to your device:

  • Downloadable wallets include Binance Extension Wallet, Trust Wallet, MetaMask, Math Wallet, and others.

Step 2: Buy your Cryptocurrency

  • Withdraw your purchased cryptocurrency to one of the wallets that support BSC

Step 3: Explore BSC. ​​projects

Above is some initial information about Binance smart chain. Hopefully, with this article, you will better understand the strengths of BSC wallet and distinguish BSC wallet from other wallets. Smart Chain is a decentralized blockchain that provides a network for projects. However, BSC cannot manage projects issued on BCS. Therefore, when investing, you need to understand the regulations and risks of the project yourself.

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