BNB Chain TVL rises with new addition, but is it still early days?
  • Although locked assets increased, overall TVL decreased by 22% of its value.
  • Sentiment towards BNB remains positive, but searches for the coin have decreased.

Two days after BNB Chain reveals it has added native Liquid Staking to Binance Smart Chain [BSC]the value of staked assets on the network has increased.

To explain, BNB Chain is a smart contract blockchain, but it is compatible with Ethereum. [ETH] virtual machine.

According to DeFiLlama, Binance’s Total Value Locked (TVL) [BNB] Staked ETH, Top Liquid Staking Protocol on Chain, increased Increased by 2.75% in the past 7 days.

Rapid impact, but still in early stages

At the time of writing, the exact value was $582.76 million. Stader’s TVL, another liquid staking protocol on the network, recorded a 6.98% increase during the same period.

Data showing the value of assets locked on Binance Smart Chain

Source: Defilama

An increase in this indicator means that market participants have deposited more assets with BSC. Additionally, this increase was evidence of growing confidence in the protocol.

According to BNB Chain, the Beacon Chain’s Sunset Fork, scheduled to be completed in June, will reason For introduction. The chain explained:

“By issuing liquid staking tokens that represent staked BNB, users can participate in DeFi activities without sacrificing the utility of their assets. It will be held in between.”

This development allows delegators to double their staking rewards. It could also facilitate cross-chain migration between BSC and BNB beacon chains.

BSC can’t catch up, BNB can’t catch up?

Despite the increase in stakes, BSC overall TVL fell by 22.16% in the past 24 hours. The indicator could rise if staking on the network improves.

Otherwise, the chain may not generate any real revenue for participants. However, staking activities can also impact BNB Chain’s revenue. In the first quarter, AMBCrypto reported that the chain recorded his 70% growth.

However, April was not so kind to the network, and her income decreased for several days. However, the full Liquid Staking integration could be completed by the end of May, so the revenue situation could improve.

Looking at other aspects of the project, Noticed It means that the emotions around you have improved. According to Santiment, the weighted sentiment on April 20th was as low as -1.631.

Meanwhile, the press time data showed that the measurements were positive. This boost suggested that the perception surrounding BNB is not as bearish as it was a week ago.

BNB has positive sentiment but low search volume

Source: Santiment

As this number increases, more assets may be allocated to staking on the BNB chain. Otherwise, the value may stall or, in the worst case scenario, participants may walk away with their assets.

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Additionally, on-chain data showed that social volume has decreased. This means that the arbitrary search for BNB as an asset has decreased.

Although this may have a negative impact on the demand for cryptocurrencies, it is not a prerequisite for activity on the network to plummet.

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