BNB network status in Q2 2022

BNB- cryptocurrency of the Binance ecosystem, is a native token of the Binance Chain and Binance Smart Chain networks.

 

Price BNB: $317.5

ATH: $688.62 (05/10/2021)

Fall from ATH: 53.8%

Intraday trading: ~$1.6 billion

Max. issue: 200,000,000 BNB

In circulation: 161,337,261 (81%)

Burned: 38,912,323 BNB

Market Cap: $51.3 billion

Main trends of the second quarter

As the bear market hits the BNB networkthere has been an expected decline in TVL in DeFi applications. The amount of funds blocked on smart contracts decreased by 55% compared to Q1 2022 and amounted to $6.2 billion.

Emerging Markets for NFTs and BNB's GameFi Networkincreased significantly on a quarterly basis. With a significant increase in secondary NFT sales (634%) and unique NFT buyers (716%), BNB Chain NFT activity has rapidly grown to levels seen on popular chains such as Solana and Flow.

The total number of deployed unique contracts increased by 31.7% QoQ.

The GameFi sector of the BNB network continued to be activedevelop. Era7's latest gaming apps: Game of Truth and X World Games saw the most engagement in the quarter. Collectively, the top three GameFi apps on the BNB Chain by number of users and transactions attracted more than 60,000 daily active users, up 35% from the previous quarter.

In the second quarter, BNB Chain announced a technology roadmap for 2022 with significant updates before the end of the current year.

The BNB Network Reached Higher Levelsdaily transactions compared to Ethereum and Polygon. Ethereum remains stable at ~1.17 million transactions per day, with the BNB chain averaging around 4 million.

Ecosystem issues

The DeFi ecosystem on the BNB network is strongconcentrated and dependent on PancakeSwap. Approximately 50% of TVL comes from this app. If PancakeSwap goes down due to an exploit or a technical glitch, it will significantly impact the entire ecosystem of the BNB network.

The level of decentralization of BNB Chain is constantly being criticized. The network includes a total of 21 active validators.

In early June, the SEC launched an investigation - iswhether the BNB token is an unregistered security. As part of the CoinDesk Consensus 2022 panel, Changpeng Zhao stated that Binance regularly answers questions from the SEC and meets with the agency regularly. It is important to note that BNB Chain is a public blockchain, separate from Binance. While there are no confirmed litigations, the BNB token may face regulatory risks and issues.

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