For a long time, Binance It has been promoting the adoption of one of the main products of its ecosystem. We refer to Binance Chain and BEP-2 tokens, with which it intends to compete with token issuance protocols such as Ethereum ERC-20. However, now in an attempt to massify the use of its Blockchain, the exchange has launched a new protocol. So today we will explain what the protocol is Binance BEP8.
Binance Chain and BEP-2
One of the most interesting characteristics of Blockchain technology is that it allows decentralized creation within its infrastructure. That is, once a blockchain like Ethereum exists.
Other creators can design and launch their own products within it. Issuing tokens that, in exchange for a small commission, take advantage of the technical capabilities and security of the Ethereum Blockchain or another cryptocurrency.
These tokens acquire different names, according to the blockchain in which they were issued. Depending on the set of technical rules that make up the protocol from which these tokens will be issued. So far ERC-20, the Ethereum protocol, the most popular of all. Although there are other protocols in different Blockchains such as TRC-20 from Tron.
In the latter case, Binance has been promoting the use of its own Blockchain, Binance Chain, for the issuance of new tokens. Which work under a protocol known as BEP-2. Which allows developers to create Blockchain-based projects, using the Binance infrastructure, and launching their own tokens on the blockchain.
However, issuing BEP-2 tokens on the Binance Chain is not as easy a process as might be expected. Therefore, and in an attempt to massify the use of its Blockchain, while supporting creators who do not have the resources for a traditional BEP-2 launch. Binance has released a new protocol known as BEP8.
BEP8: The massification of Binance Chain
Thus, BEP8 would be a protocol for the issuance of new tokens in the Binance Chain, which reduces the entry costs established by BEP-2. Well, currently the cost for a BEP-2 token to be listed in Binance DEX it is around 1500 BNB. A figure that may be too high for creators of interesting projects, but without great financial resources.
Therefore, BEP8 would have much lower levels of demand for the issuance and listing of tokens. Since, the creators of a token based on this protocol can directly list it against two virtual currencies, Binance’s cryptocurrency, BNB, and its US dollar-based stablecoin, BUSD.
Although this would provide less flexibility for BEP8 tokens, it would be sufficient for mini project creators, or for those who want to issue tokens to support their intellectual property. Well, for them, characteristics such as the pairs of their tokens being executed in each Binance Chain block such as the BEP-2, is not so crucial. Being able to tolerate them being executed every 16 as Binance promises.
In this way, Binance would be trying to give a new impetus to its Blockchain through BEP8 tokens, defending its title as the longest-reaching exchange in the world. In an attempt to massify the use of its chain for the creation of projects related to the crypto world. In this way challenging the position of other cryptocurrencies such as Ethereum and Tron.