BSC thwarts ETH’s high transaction fee with ten times higher transactions volume
BSC Winning the Transaction Volume Game
Binance Smart Chain (BSC) is now synonymous with ‘Scalability in Action,’ says Nansen.ai’s latest report on BSC’s transactional volume domination. The report sheds light on how BSC is challenging (& winning over) Ethereum’s (ETH) high gas fees regime in terms of transactions processed. The report states that BSC processed nearly ten times more transactions versus ETH during May and August, 2021 period. The report points out that BSC’s user base stems also from crypto whales, apart from retail investors. It states that a high number of professional investors tend to be using both ETH and BSC. Crypto funds (7.4%), arbitrage traders (45.6%), and large and profitable liquidity providers (39.1% LPs) use BSC as well as Ethereum. BSC’s own DEX PancakeSwap (PCS) processed transactions much higher than ETH in its high-point period, per the report. PCS’ native $CAKE token soared more than 120% with its total number of transactions toppling those of Ethereum. Per the Nansen.ai report’s statistics, BSC has processed more transactions.
About Nansen.ai & BSC
Nansen.ai is a blockchain analytics platform working on enriching on-chain data with wallet labels running in millions. Via Nansen, crypto investors locate avenues, perform due diligence and safeguard their portfolios with their real-time alerts and dashboards.
Established in September 2021, Binance Smart Chain is a parallel chain meant to enable smart contracts. BSC’s dual-chain architecture empowers its users to develop on one blockchain their decentralized apps and digital assets. It allows swift trading on one chain and makes it possible to exchange on the other.
BSC’s utility appeal goes beyond the regular retail market. It allows optimization, enables swift transactions and has low gas fees. It is an EVM compatible cross-chain transfer providing chain with a block time of 3 seconds. ETH’s soaring peer-to-peer and peer-to-contract transaction fee plus peak network congestion compel investors to shift to BSC. Whales are actively and increasingly using $CAKE and BSC since April 2021.