Binance's Surprise Reveal is a Revealed
As mentioned here earlier today, Binance has been planning something big. While there has been some speculation as to what Binance would launch, it appears that it is now settled. Earlier today, Binance announced in a blog post that it would be initiating a Binance Chain Mainnet Swap.
What Does That Mean?
Essentially that means that BNB will no longer be a token based on Ethereum's blockchain (ERC-20). BNB is launching its own blockchain with its own unique functionalities. The reason for launching its own blockchain stems from some frustration with the speed of Ethereum's network with smart contracts. They are going to mine the genesis block sometime later today.
BNB will apparently support smart contracts. This is something that is becoming a standard in the world of cryptocurrencies. This will also put BNB in direct competition with Ethereum, Tron, Cardano & EOS.
This combined with the Binance launchpad could hypothetically cause very hard competition to other coins.
A Bit About the Announcement
Users will need to need to exchange their ERC-20 BNB tokens to Binance Chain BNB or else they risk a possible loss of funds. As per the announcement:
"If users still want to keep the ERC20 based BNB tokens for any reason during the conversion period, then they may withdraw their BNB from Binance.com 3 accounts into an Ethereum Wallet BEFORE 2 AM (UTC), April 23rd. Please note that withdrawn ERC20 BNB tokens will only have temporary usage, as all BNB tokens will be migrated to Binance Chain. After April 23rd, Binance.com 3 will NOT support the withdrawal of ERC20 BNB tokens.
For any other exchanges currently supporting the trading of BNB, they are encouraged to follow the conversion method of ERC20 BNB into BEP2 BNB as stated above."
Binance is becoming a name to know and possibly fear in the cryptospace. So far, they have been ambitious, efficient, & popular. Should they keep the course, they could be the Google of blockchain.
Written by Jonathan Ganor
Writer & cryptocurrency aficionado