BNB Chain is a copy of the ETH network. Initially, this network was called Binance Smart Chain. But in February 2022, Binance rebranded and named the network in a new way: BNB Chain.
How does Tether USDT and BNB Chain Work
The creation of the USDT token in the BNB Chain took place in April 2020. At that time, Binance announced the launch of USDT on the Binance SmartChain blockchain (now called BNB Chain). BInance has released a version of USDT based on the BEP-20 token standard, specifically for the BNB Chain. This allowed users to conduct transactions with USDT in an ecosystem with lower fees and faster processing compared to Ethereum.
The partnership or collaboration between Tether and Binance has not been officially confirmed, however, the integration of USDT with Binance Smart Chain has provided users with more opportunities to use a stable digital currency.
How events developed after the introduction of USDT in the BNB Chain
Providing a native version of USDT on BNB Chain allowed users to make transactions and interact with the stablecoin without problems in the BNB Chain network. This integration eliminates the need for cross-chain transfers and allows users to take advantage of the network.
One of the main advantages of using USDT on the BNB Chain is significantly lower fees compared to the Ethereum network. Due to the low cost of BNB Chain infrastructure, users can conduct transactions with USDT more economically, which makes it an attractive option for the transfer of stable digital assets. In addition, the high speed of the BNB Chain provides a faster transaction confirmation time, ensuring fast and efficient processing of transactions with USDT.
The integration of USDT with BNB Chain has played a key role in the development of a decentralized financial ecosystem (DeFi) within this environment. USDT quickly became popular among users participating in various DeFi protocols and applications built on BSC. From farming to staking, providing liquidity and decentralized exchanges, USDT has become a widely used stablecoin for various operations within the decentralized financial ecosystem of the BNB Chain.
Over time, the infrastructure supporting USDT on Binance Smart Chain has continued to evolve. Leading cryptocurrency exchanges, wallets and DeFi platforms integrated USDT support on BNB Chain, which allowed users to trade, store and use USDT without problems within the ecosystem. The increase in support further improved the liquidity and acceptance of USDT on the BNB Chain.
Tether USDT contract on BNB Chain:
https://bscscan.com/token/0x55d398326f99059ff775485246999027b3197955
