Binance has launched a public chain again, this time with a longer name, BNB Greenfield. This is a new chain, not an upgraded version of BSC:

  • BNB Greenfield is a sidechain of BSC, focusing on the storage track.

  • BNB Greenfield is based on Tendermint consensus and developed using COSMOS SDK.

  • There are three possible ways to participate in the BNB Greenfield ecosystem to make a profit: validating nodes, storage service providers, and data producers.

  • If BNB Greenfield is successful, it will create a huge new demand for BNB, possibly reaching the level of tens of millions of BNB, which will greatly enhance the value of BNB.

  • Even if BNB Greenfield is very dull, it can lock up millions of BNB for a long time.

  • BNB Greenfield will give birth to a number of new projects in the storage field, which can at least bring short-term speculative opportunities.

 

1、BNB Greenfield

BNB Greenfield is a BSC sidechain development plan proposed by the Binance Chain development team in response to BSC's huge storage needs and in light of last year's heated discussions on data availability.

This sidechain, like Binance Chain (BC), is based on Tendermint consensus and developed using COSMOS SDK. It is currently highly complete. It is a POS chain with a block time of 2 seconds.

Compared with other storage projects such as Filecoin, Arweave, StorJ, SC, BNB Greenfield may have the following advantages:

  • With data as the center, data ownership is directly used as the underlying operating logic;

  • The address format is fully compatible with Ethereum, facilitating cross-chain operations and asset management;

  • Supports smart contracts and can achieve strong composability based on BSC;

  • The user experience and cost are close to today's most advanced cloud storage services.

 

2. Economic system

On the BNB Greenfield chain, participants are different from general public chains. In addition to verification nodes and users, there are also storage service providers. Therefore, there are three clear ways to make profits on the chain: verification nodes, storage service providers, and data producers. Although there are many ways for data producers to realize their profits, in the context of blockchain technology, there is no mature business model yet, and there are still many variables in BNB Greenfield itself, so this article will not discuss it for the time being.

Verification nodes can also become storage service providers and earn multiple incomes; however, storage service providers do not have to be verification nodes, they only need to focus on providing storage space.

Participating in the verification node is another scenario where BNB holders can show their skills. If we simply repeat the development process of BSC, overall, the currency-based return of the verification node is about 10-20%. In the early stage, 50,000 BNBs are enough to take down a node. As the ecosystem matures and the activity on the chain increases, while bringing rich returns to the verification nodes, it will also greatly increase the requirements for the amount of BNB locked. For example, BSC currently requires about 1 million BNBs.

Storage service providers are similar to hard disk mining in the past, providing storage space to make profits. In order to increase the cost of doing evil, it should also be necessary to pledge and lock a small amount of BNB, which will not put too much pressure on users who do not have BNB. As for the rate of return, it is not easy to predict at present. According to the data listed in the white paper, it is calculated based on a monthly income of US$5,000, or US$60,000 a year, which is not bad.

 

3. Impact

When a new chain is launched, the first circle of influence is definitely the native token BNB on the chain. Although BNB Greenfield will not directly change the total amount of BNB, it will create a huge BNB application scenario. Simply according to the BSC demand, it will take millions to tens of millions of BNB to lock up just the verification nodes. If we also take into account the deposited assets of storage service providers and users on the chain, the total amount is quite considerable.

Of course, it must be reminded that whether it is destruction or the launch of BSC, historical data shows that the price of BNB has not produced immediate large fluctuations.

The second circle of influence is the BNB Greenfield chain ecosystem. Large users can run for verification nodes, and those with resources can become storage service providers. Ordinary users also have the opportunity to participate. There are generally several protocols with good data on each chain, and the process of their competition is our opportunity to obtain high returns. Although it is too early to know how to play as an application chain, it is certain that there will be new ways of playing waiting for us to participate.

The third circle of influence is other imitation platforms. There are so many public chains at present. If a storage application side chain is launched on BSC, many people will definitely launch one. Or they will launch new storage track projects in the data-centric direction. These new side chains and new projects, whether they succeed or not, will bring us new opportunities.

Where opportunities arise, there are risks, and BNB Greenfield also has a lot of uncertainties.

The first is insufficient demand. The storage track has received much attention for a long time. Filecoin, Arweave, StorJ, and SC are all old faces. They have experienced multiple bull and bear cycles, but they are still tepid. In addition to the difficulty of development, the main problem is insufficient demand. In fact, the entire industry is facing insufficient demand. For example, many public chains often have empty blocks, and the interest rate of funds in the on-chain lending agreement is extremely low. In the entire industry, the only real landing may be currency speculation and gambling. Even chain games contain many Ponzi elements and gambling gameplay. This makes it difficult for us to simply explain to people what Web3.0 is and what the metaverse is. When you go home for the New Year, when you face the soul-searching question of what specific work you do, it is estimated that many people will find it difficult to find words other than currency speculation.

It is still unclear how BNB Greenfield will cope with the dilemma of insufficient real demand. I wish it good luck!

The second is data-centric implementation. BNB Greenfield has added a design that clarifies data ownership at the bottom layer and puts forward the slogan of data-centricity. The well-known public chains, BTC, are transaction-centric and ETH is account-centric.

In fact, the education sector has been calling for student-centeredness for many years, but the basic teaching methods have not changed much, and the huge group inertia has hindered the reform of education. The ownership of data is a pain point in today's Internet world. But data also has its own characteristics. For most data, it does not have much commercial value in isolation. Only when they are shared and used can they become more valuable. When the granularity of ownership is very fine, how to efficiently exchange and analyze data while protecting user privacy is a challenge. Therefore, we have reason to worry that data-centricity can only be implemented as a slogan in the end.

PS: The above is just for entertainment and is not intended as any investment advice!