Binance BSC Strategy Breakdown

Author: Rain in the Rain

I have been thinking about a question for some time: What is the reason why Binance chooses to promote the BSC ecosystem at this time point?

It can be broken down into three points:

1. Weakness of competitors: Solana has fallen into fatigue under the bloodsucking of several large trucks and huge unlocking;

2. The exchange business has reached its ceiling, and it is necessary to expand new business lines to generate revenue, and push the chain to meet future trends and go with the trend;

3. Binance tends to be optimistic about the future market situation.

The only thing that made me uncertain at the time was the third point. But now, the big market is at least stable.

When Binance really started to turn, BSC's momentum was basically established. The biggest advantage among them is: Binance list.

An intuitive expectation of BSC ecological tokens is to be listed on Binance. Binance has divided this expectation into four parts: Binance Alpha, community voting, contracts, and spot. It can only be said that they have played it through. Giving expectations little by little can create a wealth effect little by little.

The more cards you have in your hand, the more room for maneuver.

Of course, in addition to listing coins, community activities and Binance Wallet IDO, I think there is another very important point, that is, the construction of related infrastructure.

First, the support of those dog-beating tools for BSC. Although these bots are promoted wherever they are popular, they can help BSC quickly reach the community end-after all, user volume is the profit cornerstone of these tool products.

The second is MEV, which @cz_binance has also complained about before. MEV will directly affect the user's trading experience. A recent solution is that BNB Chain has launched a goodwill alliance, hoping to unite nodes and reduce BNB Chain's sandwich attacks, that is, to alleviate the problem of MEV. 48Club (under the BNB Chain infrastructure brand Puissant) is its founding member. They have reached cooperation with Binance Web3 Wallet and PancakeSwap in the field of transaction privacy protection.

It's a pity that I didn't realize that 48Club also has a governance token $KOGE, which has tripled in the past few months. It's a pity to miss it. BSC is making trouble, and it is also a ticker worth paying attention to - I bet on $BID and took a roller coaster ride, which is exciting.

Their solution to MEV is to integrate AI Driven Sandwich Identifier (ADSI) and use AI technology to identify and intercept sandwich attacks. Binance Chinese and BNB Chain have also interacted with them. This should be one of the important reasons why $KOGE was selected for Binance Alpha.

As for the empowerment of $KOGE, it is to be an LP to mine $KOGE, which is equivalent to the second pool, and to repurchase $KOGE tokens regularly (at least once a quarter).

Having said that, in essence, the hype on BSC is still the Web2 Attention mentioned by @thecryptoskanda. Everyone is following CZ and Heyi to hype. The current hype phase of BSC is very similar to the Solana Toly order stage (that wave of Solana mobile app hype), so I tend to think that the general direction will still be to hype tokens with some application attributes.

The hype path of Layer1 is probably meme —> application (possibly DeFi) —> meme —> application (possibly AI Agent), like this. I personally think that the market's attention to its ecology will continue to flow between various sectors. Therefore, I think BSC will experience a narrative shift from meme —> application in the short term. The beneficiary will most likely be AI App.

Whether the Layer1 ecosystem can continue to go on depends on the needs of the stakeholders behind it.