BNB Chain’s Innovative Layer 2 Network opBNB Takes the Testnet by Storm
- Antwan Koss
- June 19, 2023
- news, Crypto, Crypto Market
- BNB, Crypto, layer 2, Mainnet, opBNB
- 0 Comments
BNB Chain has just unveiled their innovative layer 2 network on their testnet, which might be going live in the mainnet in Q3 of this year.
- OpBNB, the EVM-compatible Layer 2 network by BNB Chain, has been launched on the testnet.
- BNB Chain’s objective is to achieve substantial enhancements in decentralization, scalability, and performance by 2023.
- The opBNB’s mainnet is anticipated to be released in Q3 of this year.
The BNB Chain has recently launched its new Layer 2 network called opBNB on testnet, powered by Binance’s BNB token. This blockchain ecosystem aims to improve transaction speed and reduce fees by utilizing an Ethereum Virtual Machine (EVM)-compatible scaling network based on Optimism’s OP Stack.
According to Arnaud Bauer, the senior solution architect at BNB Chain, the current speed of BNB Smart Chain’s Layer 1 network is approximately 2,000 transactions per second, with an average cost of $0.109 per transaction. However, the new opBNB network will exceed this speed, allowing over 4,000 transactions per second at a cost less than $0.005 per transaction on average.
As part of the BNB Chain ecosystem, BNB Smart Chain is joined by BNB Beacon Chain, which serves as the staking and governance layer of the ecosystem. Additionally, BNB Greenfield, a decentralized data storage system, and zkBNB, a Layer 2 network utilizing zero knowledge or zk rollup technique, are also available. With the launch of opBNB, BNB Chain continues to expand its offerings and improve the blockchain experience for its users.The opBNB’s mainnet is anticipated to be released in Q3 of this year.
As blockchain technology continues to evolve, scalability remains a critical challenge.
But fear not! Enter opBNB, a game-changing Layer 2 scaling solution designed to overcome the limitations of Layer 1 (L1) networks.
Let’s discuss opBNB below 🧵https://t.co/irYn1OPtfQ
— BNB Chain (@BNBCHAIN) June 19, 2023
All About EVM-compatible opBNB
As the launch of another Layer 2 network by BNB Chain was announced, the question on everyone’s mind was: why? Speaking on the matter, Bauer explained that while zkBNB, their previous network, was not EVM-compatible, opBNB certainly was. The significance of EVM compatibility lies in its ability to allow developers to seamlessly transfer their existing Ethereum-based applications to compatible platforms.
This results in enhanced interoperability, expanding the reach of decentralized applications, and furthering the growth of the ecosystem.With both zkBNB and opBNB in place, BNB Chain now sees itself going head-to-head with the Ethereum Layer 2 ecosystem. Projects such as Arbitrum and Optimism will now have a new competitor.
Even though opBNB is based on Optimism, Bauer explained that it offers a higher gas limit of up to 100 million, compared to Optimism’s 30 million. A higher gas limit translates to larger computational work capacity within a block, allowing for increased scalability and the ability to process more transactions on the blockchain.
BNB Chain vs. Ethereum
The BNB Chain ecosystem, while still in its infancy, has a long way to go before it can catch up to Ethereum. The Ethereum-based applications boast a staggering total value locked (TVL) of over $24 billion, while the TVL of BNB Chain-based projects is just over $3 billion, according to DefiLlama data. Despite this disparity, BNB Chain is not resting on its laurels.
The team is actively seeking to innovate and bring more user-friendly applications into the ecosystem to boost its TVL.However, the recent ruling by the United States Securities and Exchange Commission (SEC) that deemed BNB token a security has cast a shadow of uncertainty over the future of BNB Chain. When asked about the lawsuit’s implications on the ecosystem, BNB Chain’s spokesperson declined to comment. Instead, the team remains steadfast in their commitment to continue building and improving the ecosystem.
The release of opBNB on testnet marks a major breakthrough for BNB Chain. This achievement brings them one step closer to their 2023 objectives. The layer 2 network is anticipated to offer quicker and more affordable transactions, improved scalability, and enhanced security. With these features, it’s no wonder that developers and businesses are drawn to building on the BNB Chain ecosystem. The introduction of opBNB is also expected to drive the adoption of BNB Chain even further. This blockchain has already experienced significant growth in both transaction volume and daily active users. Stay tuned for more exciting developments from BNB Chain!