BNB Chain allows liquidity on BSC

BNB Chain said it will allow native liquidity to be stored on the BNB Smart Chain (BSC) as part of a shift to move BNB Beacon chain functions to BSC.

In an announcement sent to Cointelegraph, it announced that the BNB beacon chain will be completely shut down by June 2024. However, the company said it will transfer its properties to BSC before closing.

BNB Chain says that enabling liquidity storage on BSC will allow ecosystem participants to maintain the network while maintaining their asset size.

While the firm did not provide a specific date for the release of the liquidity feature, BNB Chain said it would happen in April or May.

BNB Chain's core development team told Cointelegraph that the move to BSC is the organization's effort to streamline the network. are there:

“The performance from the BNB Chain Fusion sunset, streamlining the network, improving efficiency, reducing security risks and matching current technology needs.”

The team added that the move is part of the company's growth plan to make the BNB Chain “more attractive to users”.

BNB Chain states that users will be able to participate in decentralized financial activities without paying for the asset's utility because they will have a liquid token representing their staking crypto assets.

The BNB Chain core development team also said in a statement to Cointelegraph that owners can delegate BNB (BNB) to a liquidation pool or directly to a validator. are there:

“Liquid throttling not only rewards BNB shareholders, but also improves the security of the BNB Chain network. It gives BNB holders more options to save their assets and save BNB.”

The team explained that when BNB holders share their tokens in a liquidity pool, they can receive liquidity provider tokens that they can use in many activities within the ecosystem.

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According to the development team, liquidity and Maximum Eligible Value (MEV) optimization for the BNB chain will roll together.

“MEV-enabled validators will have the opportunity to increase their stake earnings through MEV earnings, which will ultimately lead to Liquidity Staking rewards,” the group added.

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