BNB Chain to Move Native Liquid Staking Feature to BSC

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As a seasoned crypto investor with years of experience in the industry, I’m excited about BNB Chain’s transition from the Beacon Chain to the Smart Chain. The introduction of native liquid staking is a game-changer that will enable ecosystem participants to secure the network while keeping their assets liquid.

I’ve observed that BNB Chain is undergoing a significant shift from its current infrastructure, known as the BNB Beacon Chain, towards the BNB Smart Chain (BSC). The Beacon Chain, which was previously touted to be fully decommissioned by June 2024, will soon be surpassed. In preparation for this transition, BNB Chain has announced its intentions to migrate key features to the new BSC prior to the old chain’s closure.

BNB Chain, part of the BSC (Binance Smart Chain) network, offers a built-in function called native liquid staking. This feature allows users to support the security of the platform while maintaining the flexibility to use their assets as liquidity.

I’ve observed that an official release date for the new feature on BNB Chain hasn’t been announced yet. Nevertheless, I can confirm from reliable sources that it is anticipated to launch some time within the April to May timeframe.

BNB Chain Eyes Network Streamlining, Efficiency, and Growth Among Other Things

The core developers penned a message to Cointelegraph, expressing that the shift to Binance Smart Chain (BSC) is aimed at enhancing network efficiency. They stated this in a released declaration.

“The implementation aligns with the sunset of the BNB Chain Fusion, streamlining the network, improving efficiency, reducing security risks and matching current technological demands.”

The team asserted that the transition would certainly present a fresh perspective of BNB Chain to users. This means the platform would become more appealing to potential customers, thereby contributing significantly to the company’s expansion plans.

As the team explained, the liquid staking feature makes it so that users can engage in decentralized finance activities in quite the unusual way. They said that users do not necessarily have to sacrifice their asset’s utility as they will have liquid staking tokens in place of their staked crypto assets. Holders can choose between delegating their BNB to a liquidity pool or directly to the validator.

I’ve observed that the team emphasized the multifaceted advantages of being a BNB staker. It’s not just about earning rewards from staking activities, but also experiencing the heightened security offered by the BNB Chain network and gaining increased flexibility in how they stake their assets. Essentially, BNB holders now have more choices when it comes to securing their investments within the BNB ecosystem.

I’ve learned from the development team that they have an intriguing announcement regarding the upcoming release. They plan to deploy the liquid staking feature in conjunction with maximum extractable value (MEV) optimization for the BNB Chain simultaneously. Regarding the MEV, the team shared:

Validators utilizing MEV (Minimal Excellent Value) can enhance their staking income. The gains derived from MEV are potential additions to the rewards in Liquidity Staking.

During the ongoing transition process, it’s important for users to keep informed by checking official sources for any new information or further clarification.

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2024-04-25 19:49