in

Binance Smart Chain (BSC) Is Feeling the Pressure of the Heightened Network Demand

Binance Smart Chain (BSC) continues to see increased traction, which has the total value locked on the chain surpassing $56.7 billion, as per BSCProject.

The biggest contributors to this growth are lending protocol Cream (CREAM) with $12.80 billion in TVL, another lending protocol Venus (VXS), which has $11.13 billion worth of assets in it, and AMM PancakeSwap (CAKE) amused $10.70 billion in assets.

This jump in the value locked on the BSC blockchain, which is now catching up with Ethereum’s $88.82 billion, is the result of its low fees.

Currently, the average gas price on BSC is about $0.433 while processing over 9 million transactions much higher than under 1.5 million transactions handled on the Ethereum blockchain in the past 24 hours. Meanwhile, total addresses on BSC have reached past 69 billion compared to Ethereum’s over 150 million unique addresses.

But the market has been lately noting that while fast and cheap, BSC has its own set of problems, which are not that much different from the second largest network.

“Critical infrastructure on the Binance Smart Chain Network BSC is failing to operate under the network demand. Public and private nodes are up to 30 blocks behind,” stated ChartEx on Tuesday.

This has been going on for some time; during the weekend as well, BSC nodes were out of sync, delaying the ChartEx performance for BSC.

As we reported, the popular BSC-based DeFi protocol PancakeSwap slowed down several times this year due to increased usage, which then led its team to ask users to raise the gas fees.

Also, the biggest issue with BSC, researchers argue, is its lack of decentralization as the smart contract platform only relies on 21 validators compared to Ethereum’s 125,000.

Amidst this, last week, BSC projects Uranium Finance and Spartan Protocol were the victims of exploits losing $50 million and over $30 million in respective attacks.

Still, with the bull run strong and the future interoperability, a new DeFi oracle Umbrella Network (UMB) shifted its base from Ethereum to BSC.

“Integrating with BSC offers Umbrella multiple advantages when compared to working on other platforms, including transaction fees that are over 90% lower than what is incurred on Ethereum,” the company said in an announcement on Monday.

Umbrella Network also signed partnerships recently with crypto exchange Huobi and Asia-based HashQuark. It further plans to work with other layer 1 platforms like Solana, Polkadot, and Avalanche.

SOL -3.06%

Solana / USD
SOLUSD

$ 44.76

-$1.37
-3.06%

Volume 611.26 m

Change -$1.37

Open $44.76

Circulating 272.64 m

Market Cap 12.2 b

baseUrl = “https://widgets.cryptocompare.com/”;
var scripts = document.getElementsByTagName(“script”);
var embedder = scripts[scripts.length – 1];
var cccTheme = {“Chart”: {“fillColor”: “rgba(248,155,35,0.2)”, “borderColor”: “#F89B23”}};
(function () {
var appName = encodeURIComponent(window.location.hostname);
if (appName == “”) {
appName = “local”;
}
var s = document.createElement(“script”);
s.type = “text/javascript”;
s.async = true;
var theUrl = baseUrl + ‘serve/v1/coin/chart?fsym=SOL&tsym=USD’;
s.src = theUrl + (theUrl.indexOf(“?”) >= 0 ? “&” : “?”) + “app=” + appName;
embedder.parentNode.appendChild(s);
})();

9 min
Binance Smart Chain (BSC) Is Feeling the Pressure of the Heightened Network Demand

1 h
Solana Hits its First $1 Billion Milestone in Total Value Locked (TVL)

1 d
Layer 2 Ethereum Scaling Solution Polygon (MATIC) Sees Nearly $4B in Value Locked as QuickSwap Gains Traction

DOT 5.00%

Polkadot / USD
DOTUSD

$ 39.12

$1.96
5.00%

Volume 3.05 b

Change $1.96

Open $39.12

Circulating 935.04 m

Market Cap 36.58 b

baseUrl = “https://widgets.cryptocompare.com/”;
var scripts = document.getElementsByTagName(“script”);
var embedder = scripts[scripts.length – 1];
var cccTheme = {“Chart”: {“fillColor”: “rgba(248,155,35,0.2)”, “borderColor”: “#F89B23”}};
(function () {
var appName = encodeURIComponent(window.location.hostname);
if (appName == “”) {
appName = “local”;
}
var s = document.createElement(“script”);
s.type = “text/javascript”;
s.async = true;
var theUrl = baseUrl + ‘serve/v1/coin/chart?fsym=DOT&tsym=USD’;
s.src = theUrl + (theUrl.indexOf(“?”) >= 0 ? “&” : “?”) + “app=” + appName;
embedder.parentNode.appendChild(s);
})();

9 min
Binance Smart Chain (BSC) Is Feeling the Pressure of the Heightened Network Demand

1 h
Bitcoin and Ether Record The Largest Inflows Since February: CoinShares Report

1 w
Nexus Mutual Expands Insurance to Cover Binance Smart Chain and Polkadot Users

AVAX -1.61%

Avalanche / USD
AVAXUSD

$ 32.96

-$0.53
-1.61%

Volume 325.93 m

Change -$0.53

Open $32.96

Circulating 128.81 m

Market Cap 4.25 b

baseUrl = “https://widgets.cryptocompare.com/”;
var scripts = document.getElementsByTagName(“script”);
var embedder = scripts[scripts.length – 1];
var cccTheme = {“Chart”: {“fillColor”: “rgba(248,155,35,0.2)”, “borderColor”: “#F89B23”}};
(function () {
var appName = encodeURIComponent(window.location.hostname);
if (appName == “”) {
appName = “local”;
}
var s = document.createElement(“script”);
s.type = “text/javascript”;
s.async = true;
var theUrl = baseUrl + ‘serve/v1/coin/chart?fsym=AVAX&tsym=USD’;
s.src = theUrl + (theUrl.indexOf(“?”) >= 0 ? “&” : “?”) + “app=” + appName;
embedder.parentNode.appendChild(s);
})();

9 min
Binance Smart Chain (BSC) Is Feeling the Pressure of the Heightened Network Demand

1 d
Payments Giant PayPal Now Reportedly Working on its Own Stablecoin

3 w
TrueUSD (TUSD) Stablecoin to Go Live on Tron Network Tomorrow

“From our first product roadmap, we have planned to integrate into BSC, and the timing couldn’t be better, given the platform’s exploding ecosystem,” Umbrella’s Founding Partner Sam Kim said.

The post Binance Smart Chain (BSC) Is Feeling the Pressure of the Heightened Network Demand first appeared on BitcoinExchangeGuide.

Source: Binance Smart Chain (BSC) Is Feeling the Pressure of the Heightened Network Demand

What do you think?

1INCH, ICX, YFI Complete Corrections and Aim for New Highs

Turkey Tightens Crypto Regulations over Transaction Volumes