The Binance Smart Chain (BSC) has surpassed Ethereum in terms of throughput. Market participants are desperately searching for alternatives as they endure the excruciating pains of paying high gas fees.
Binance CEO Changpeng Zhao stated that this occurrence is proof that its low transaction fees wooed users. Zhao stressed that the platform would continue committing more resources to maintain low transaction fees for its community.
Today is an important day. #BSC (#BinanceSmartChain) flipped Ethereum on daily transactions.This validates the logic that low fees attracts more users & projects. We will continue to work with the #BSC community to promote low fees (even as #BNB rises) and #build more.— CZ Binance (@cz_binance) February 10, 2021
Binance Offers Cheaper Alternative
The platform has siphoned a significant percentage of the market share from Ethereum. Binance Smart Chain is barely six months old, but it has experienced a meteoric increase in daily transaction volume.
According to data from BscScan, the number of daily transactions spiked above 1.6 million transactions as of Feb. 9, 2021. Similarly, the number of new addresses created on BSC has maintained steady growth. So far this figure has peaked at 68,395 new addresses on Oct. 15, 2020.
Ratio of #BSC daily Txs to #Ethereum Txs: 130%Gas cost#BinanceSmartChain $0.04#Ethereum $5.53The first stop to explore your #DApps worldSource：https://t.co/XX7sdJ2nT8 pic.twitter.com/Yl5XhbyhF6— Binance Chain Community (@BinanceChain) February 10, 2021
According to Binance’s tweet, the average transaction costs on Ethereum are around $5.53. However, this seems like a conservative number as analytics platforms like BitInfoCharts are reporting average transaction costs of around $23.
Moreover, some crypto enthusiasts have expressed concerns about the highly centralized nature of BSC:
No replies allowed because bee en bee is centralized and all bee ess cee nodes are permissioned by a single authority https://t.co/HBA1Zaz8PI— notsofast (@notsofast) February 10, 2021
Ethereum Gas Fee Keeps Rising
Gas fees for Ethereum have continued to see new highs as network activity skyrocket. This surge has been most prominent on decentralized exchange (DEX) platforms like Uniswap.
Consequently, Ethereum miners have enjoyed lofty proceeds, especially with ETH hitting an all-time high price of $1,836 on Feb. 10.
BeInCrypto recently reported that total miner revenue has hit an all-time high. Ethereum miners made a record $3.47 million in a single hour on Feb. 5, 2021.
A new Ethereum Improvement Proposal — EIP-1559 — appears to the interim solution to the lingering problem before ETH 2.0 fully kicks off. This new proposal aims at boosting the potential value of ETH by incentivizing fee burning.
The post Binance Smart Chain Overtakes Ethereum in Daily Transactions appeared first on BeInCrypto.
Original Source: Be In Crypto Binance Smart Chain Overtakes Ethereum in Daily Transactions