- BNB chain has released details about its plan to phase out the Beacon Chain and introduce the BEP333.
- According to a post shared by the team, the update would help strengthen the security and increase the efficiency of assets used on the chain.
BNB Chain has revealed plans to shut down the Beacon Chain and introduce the BEP333. In a blog post published on January 08, the team behind the project confirmed that this would go a long way to strengthen security and increase efficiency for the assets used in the chain. The chain which was initially developed by Binance, the world’s largest cryptocurrency exchange, hopes to “gradually eliminate the BNB Beacon Chain from its ecosystem.”
According to the official announcement, the Beacon Chain Fusion is scheduled for implementation in April 2024. Ahead of this upgrade, the team has released key guidelines. It further adds that users must transition their assets. It notes;
Ahead of the Beacon Chain Fusion, holders of crucial BEP2/BEP8 tokens like Binance Coin (BNB) and Bitcoin (BTC) are urged to shift their assets to the BSC network. This step is highly recommended to preserve a smooth, loss-free move, maintaining a 1:1 asset ratio.
The announcement further offers users who failed to transfer assets to the BSC network after the Beacon Chain sunset the network a backup after the Beacon Chain Fusion. It states;
For users who didn’t transfer assets to the BSC network after the Beacon Chain sunset, BNB Chain offers a backup post-Beacon Chain Fusion.
Interestingly, data from Token Terminal shows that revenue has increased by 6.4% in the last 24 hours. Based on this data, it is clear that there is renewed activity in the network leading to increased revenue. Another key metric is the number of key developers which has dropped to 51. This might indicate a drop in interest from existing and new developers due to a lack of new features from the network.
However, during Q4 2023, the network celebrated new records in Daily Active Users (DAU) and Total Value Locked (TVL) on the opBNB, its high-performance layer-2 solution. DAUs witnessed an increase of about 22% to reach nearly 1.2 million. TVL on the other hand has $19.44 at the time of press.
BNB Prices Struggle to Stay Bullish
Despite all the positives around the network, its native token is struggling to stay in the green. A look at the weekly chart shows that the digital asset has lost around 7%. At the time of press, BNB is trading at $295.89 after a 2% drop in the last 24 hours. With an all-time high of $686.31 reached two years ago, investors are bullish that these highs will be retested, fueled by recent network developments and wider market sentiments.
