DeFi Users Enjoy The Binance Smart Chain, Avoiding High ETH Fees

DeFi users enjoy the binance smart chain since the prices and market capitalization of the tokens are booming with the entire sector being up 135% over the past week as per the data that we have in our latest Binance news.

Binance Coin is leading the charge as the coin broke the all-time high of $100 and is trading at around $130, marking a 20% increase over the past 24hours and the 150% surge over the week. The latest rally pushed BNB’s market cap to about $20 billion with a daily trading volume of $7 billion. The BSC-based DEX PancakeSwap’s token CAKE comes in next with +21.75% on the day and +227 on the week. The market cap is much smaller, $750 million, and is getting a lot of traction recently.

XVS is the native token of the money market decentralized finance platform Venus which gained 27% over the past week and reached a market cap of $341 million. Other BSC tokens like UNIFI, Certik, and Spartan Protocol surged by 100% up to 280% over the past week. One of the main reasons, why BSC increased so much, is the constant growth of the transaction fees on Ethereum. Defi has been growing exponentially since the past summer and so did the costs of transferring assets. According to the crypto metrics platform BlockChair, the average transaction fee on ETH increased by $24 and made the blockchain expensive for using normal crypto enthusiasts. Coinciding with the surge of the ecosystem, BSC surpassed ETH in terms of daily transactions as Binance’s CEO Changpeng Zhao noted:

 “Today is an important day. #BSC (#BinanceSmartChain) flipped Ethereum on daily transactions. This validates the logic that low fees attracts (sic) more users & projects. We will continue to work with the #BSC community to promote low fees (even as #BNB rises) and #build more.”

The Defi users enjoy the Binance smart Chain because of the low fees and judging by the BSC ecosystem growth, it looks like the approach is working.