by The coming BNB Beacon update is meant to help the network do away with the old DEX features and concentrate on improving the network’s security and other features.
Imminent Upgrade
The network will undergo a huge upgrade of its system on the 2nd of September at a said block height of about 264,000,000. The support announcement from Binance was made via its Twitter handle, @binance, where it said that Binance is going to support both BNB Beacon Chain and BEAM network hard forks and upgrades.
The BNB Beacon upgrade was christened “Godel,” and will remove all features ascribed to DEX from the chain. In doing so, the Beacon network will have its focus totally on security and it will have sufficient power for its other activities.
It was stated via a blog post that DEX features on BNB have shown its low capacity in working with headroom with large capacity.
There are already a lot of AMM and decentralized exchanges working well on BNB’s smart contract. This translates to the BNB Beacon network’s DEX features having far less usage and liquidity. Hence, the need to have it disabled since it has outlived its utility.
But, on the contrary, the DEX feature will keep being active on BNB’s smart contract.
Pledges of Support
Many crypto exchanges like Crypto.com and Binance have said they will support the coming BNB Beacon upgrade. Binance made its announcement official via its Twitter page. The exchange also said it will put a temporary hold on withdrawals and deposits on the BNB network via its platform pending the upgrade’s conclusion and networks become stable.
Crypto.com took the same route by announcing that it will also put a hold on deposits and withdrawals in order to guarantee the security of funds belonging to its users while the upgrade is on and even after it. Crypto.com stated further that trading tokens that are available on BEP2 will not be impacted in the cause of the upgrade.
The BNB network has the structure of a double blockchain; they are the BNB Smart Contract and BNB Beacon Chain.
BNB Smart Contract is utilized in the operation of BNB and other crypto assets. These assets, however, are built on the BEP20 standard. BNB Smart Contract is equally compatible with the Ethereum Virtual Machine.
BNB Beacon Chain, on the other hand, is for the transfer of BNB and every crypto asset that uses the BEP2 asset standard. All addresses on the network begin with BNB.
