Binance-founded BNB Chain, a layer-1 blockchain, has introduced a new layer-2 chain to address its “scalability challenge.”
On June 19, BNB Chain launched opBNB as a testnet. The new layer-2 scaling solution is based on the Optimism OP Stack, which adds extra security and scalability to the Binance blockchain network.
The system is Ethereum Virtual Machine (EVM) compatible, meaning it works with Ethereum-based smart contracts, networks, and ERC-20 token standards.
Network congestion and high fees during times of increased network demand often plague blockchains. BNB Chain currently boasts around 2,000 transactions per second with transaction costs of roughly $0.10.
According to the announcement, opBNB can handle more than 4,000 transfer transactions per second, with an average transaction cost lower than $0.005.
The caching layer, optimization of data accessibility, and adjustment of the submission process algorithm to allow simultaneous operations are also possible with opBNB, as noted. This enables an increase in the gas limit to 100 million per block from the 30 million that Optimism permits.
Binance has described opBNB as its “answer to the scalability challenge that has limited the mass adoption of blockchain technology.”
Optimism utilizes Optimistic Rollups to scale transactions by presuming that transaction data, which is processed off the root chain, is valid unless proven otherwise.
Moreover, the RPC (remote procedure call) service layer streamlines the integration process by providing a user-friendly interface, according to the announcement.
This allows developers to “focus on building applications without worrying about the complexities of Layer 2 scaling,” it stated.
Adam Cochran, a partner at Cinneamhain Ventures, expressed skepticism about the development of BNB Chain. He pointed out that BNB Chain had scaling issues because they centralized an Ethereum fork and increased the gas limit to an unsafe level.
Cochran further noted that launching an Optimism fork was not a logical move, as there were other viable options available. These included joining Optimism as a “superchain,” becoming a layer-2 directly on Ethereum, or even a layer-3 on Optimism or Arbitrum.
According to DefiLlama, BNB Chain is the third-largest blockchain in terms of DeFi total value locked, trailing only Ethereum and Tron. It boasts a TVL of $3.38 billion, a 24-hour volume of $264 million, and approximately one million active daily users.