Binance Smart Chain Now Has $4.325B in Total Value Locked
● About 65.7% of the TVL is locked in several DApps on the protocol.
● Binance CEO revealed that the platform’s low fee is what attracts users.
TVL On Binance Smart Chain Rises
Defistation, an analytics website, revealed that the total value locked (TVL) of Binance Smart Chain (BSC) has risen to $4.325 Billion. It also revealed that about 65.7% (more than $22 M) of the TVL is locked up in Decentralized apps on the BNB smart chain.
BNB smart chain is a blockchain protocol that serves as a robust ecosystem for building DeFi projects in that it is compatible with Ethereum Virtual Machine (EVM).
The news of the incredible TVL on the BNB smart chain does not come as a surprise, as the value has been on a steady rise since the beginning of the year. The increase is partly due to the spike in the total value locked (TVL) of the protocol’s DeFi apps.
Binance Smart Chain Growth Not Surprising
The top DeFi protocols on the BNB smart contract are Venus, Pancakeswap, and Autofarm, with a total locked value of $1.967 Billion, $1.416 Billion, and $435.5 million, respectively. The total tokens locked in these DeFi apps are not surprising since the BSC fees are low, allowing for speedy transactions.
For instance, Venus, the Decentralized app with the highest funds on the protocol, allows users to earn above the average interest rate.
Binance smart contract provides a friendly environment for developers to build decentralized apps. As a result, analysts believe that the ecosystem will likely experience horizontal growth as more DeFi apps are built on the protocol.
Another factor responsible for the popularity of the BNB smart chain is the low fees of the protocol. Some hours ago, CZ, the CEO of Binance, revealed that the BNB smart chain’s daily transaction flipped Ethereum. He further revealed that the low fees are what draws users to the platform.