Analytics

Binance Smart Chain Recap Analytics and Analysis

Join CryptoRich in his weekly series, "BSC Recap: Analytics and Analysis," where he dives into data, graphs, and the latest projects, providing insight on the state of the BSC.

Introduction

This week's recap will show you the most prevalent data on the Binance Smart Chain (BSC), some insights, and a look at new projects. Let's see what I have to report on this week.

Unique Addresses

Last week's 53,896,174 unique addresses to this week's 58,177,780 number of unique wallet addresses have grown by 7.94% over the previous seven days; on average, some 900,000 addresses per day were added.

It seems that the growth has slowed down a bit, a big contrast compared to the last two weeks where the growth was enormous. Compared to the growth in unique wallet addresses on the Ethereum Network, which had a WoW (Week over Week) growth of 0.74%, the BSC still scores very well.

Daily Transactions

Not only have we seen fewer unique addresses this last week, but the number of daily transactions handled on the BSC has also seen a slight decline. It was a slow week, but the BSC handled an average of 2,200,000 transactions per day. The Ethereum Network is still heavily congested and handled an average of 1,200,000 trades per day.

While the Ethereum network is working at about its ceiling, the BSC still has plenty of room for growth, we can already see a massive migration wave from respected projects such as 1inch and Sushi, and I don't think others will stay behind for long.


Gas Price, Block Times, Network Utilization and Validators

As we have seen in the unique addresses and transactions, network utilization has dropped 56% to about 31% utilization. As I said, it was a slow week. This was not visible on the Ethereum network, still working at max capacity at 98% network utilization. Gas prices did ease a bit, but transaction fees are still very high on the Ethereum Network ($5-20+).

The BSC's gas fees are still 10gwei per transaction; this is always sufficient for a swift confirmation. Gas fees will not go up unless the network is totally congested. Then people start outbidding each other for a faster confirmation (this is what currently happens on the Ethereum Network, making transactions expensive), but the network congestion on the BSC is still far from getting fully congested. The Binance Smart Chain development team is already looking into scaling possibilities if/when the network would ever become very crowded. In other words, BSC will probably have cheap transactions for a long time, maybe even forever.

The 21 BSC validators make sure your transactions are getting confirmed in a fast and safe way, the Ethereum network relies on hundreds of thousands of miners to do the same. The Ethereum Network is fully congested while BSC handles more transactions and is still far from being fully utilized due to is Proof of Stake-Authority model. Some argue that this is not true decentralization because 21 validators control the network, but a POS-A offers decentralization.

There are always 21 validators online and another ten on stand by, together they are validating the 28.800 daily blocks. The validator with the largest $BNB staked will become one of the 21 validators. In effect, there are 31 possible validators in the pool; the ones with the biggest stake become active and start earning. The stakes are evaluated every four hours, after which the biggest stakers get to be active validators.

Anyone can become a validator; if you want to become a validator or want more info, follow THIS link to the validator guideline by Binance. (Running a node requires some investment and technical insight)


Top Token Transfers

Of course, we can see $BNB, $BUSD, and $CAKE in the top 3 for transfer volume. $BAKE has climbed right up to the 4th spot.  Also $JULD $BURGER $EGG $AUTO $TWT and $FUEL are sitting in the top 10. New in the list $ACS (AcryptoS). Not many surprises here this week.


New Yield Farms

Only three new farms this week, one of which has already rug-pulled. I will leave you with the ones that didn't rug...

CoralFinance       Yield farming and staking also give money to save the reefs (Charity)

BorgSwap             Star Trek "Borg" themed yield farms and staking ….

Overall it is vital to proceed with caution when purchasing tokens that have just been listed. For those who have not already read our articles on safety in the BSC, it is crucial to reference the following items, HERE and HERE.

None of our articles are advice, and all financial decisions should be made on your behalf or on behalf of a professional financial advisor.


Final Thoughts

Although it has been a slower week in general, I don't think next week's numbers will show the same. As we are in the midst of a bull run, transaction volume should remain elevated for the coming months. Also, the many migrating projects will generate a lot of traffic. Still, the growth of the BSC  has not influenced the state of congestion of the Ethereum Network. De-Fi is growing faster and faster; accommodating all the new users will be a mission for sure. There are still millions of users to come, so buckle up and enjoy the ride.

Have fun in the De-Fi fields (or should I say yields) here on the BSC.



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