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BNB Smart Chain

BNB Smart Chain is a blockchain where you can make transactions quickly and at a relatively low cost. Its abbreviation is BSC, and Binance developed the network.

Last updated • 2 min read
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What is BNB Smart Chain?

BNB Smart Chain is a network where developers can build apps. These apps are called dApps, or applications that run on a blockchain. They can be used, for example, to trade or lend tokens.

BSC supports smart contracts. These are programs that carry out agreements on the blockchain. Validators check transactions and create new blocks. This allows the network to process transactions quickly. You usually pay a small network fee in BNB for a transaction.

An example of BNB Smart Chain

Imagine using an app to swap two tokens directly from your crypto wallet. If the app is built on BNB Smart Chain, you connect your wallet to the app and pay the fees in BNB.

The swap is then processed on BSC. This example shows that BSC is the technical foundation on which the app and transaction run.

Why is BNB Smart Chain important in crypto?

BNB Smart Chain often comes up in news about new dApps, DeFi platforms, NFTs, and blockchain games. Developers can also move Ethereum apps to BSC because both networks use similar technology.

In news about BSC, its speed and low network fees are often important. This makes the network useful for apps with a lot of transactions. BSC is not the same as BNB: BSC is the network, while BNB is the token used, among other things, to pay network fees.

BNB Smart Chain is also often confused with BNB Chain. BNB Smart Chain is specifically the part where smart contracts and dApps run.

Disclaimer: This content is for informational purposes only and does not constitute financial, investment, legal, or tax advice. The information provided may be incomplete, inaccurate, or outdated and should not be relied upon as such. Nothing on this website should be considered a recommendation to buy, sell, or hold any cryptocurrency. Investing in crypto-assets involves risk of loss.