The Binance Smart Chain (BNB Chain), created by Binance, the largest cryptocurrency exchange globally, showed significant progress and success in the first quarter (Q1) of 2024. According to a recent report by Messari, the Binance Smart Chain saw substantial increases in market cap, revenue, daily active addresses, decentralized finance (DeFi), total value locked (TVL), and daily decentralized exchange (DEX) volume.

BNB Outperforms Bitcoin in Q1 2024

In Q1 2024, the BNB Smart Chain demonstrated remarkable growth in market cap, rising by 89% quarter-over-quarter (QoQ) to $92.5 billion, securing the third position among all tokens except stablecoins. Only Ethereum (ETH) and Bitcoin (BTC) had higher market caps than BNB. Notably, BNB outperformed Bitcoin, which experienced a 65% increase in market capitalization during the same period.

The revenue generated by the Binance Smart Chain saw a significant increase in Q1, reaching $66.8 million, a 70% QoQ rise. This surge in revenue was mainly due to the appreciation of BNB's price, with DeFi transactions, particularly gas fees, contributing significantly to revenue, making up 46% of the total.

Despite a slight decline in average daily transactions, BNB Smart Chain witnessed a 27% year-over-year (YoY) increase, indicating sustained growth in network activity. The average daily active addresses also surged by 26% QoQ, reaching 1.3 million, with protocols like Tether’s USDT and PancakeSwap leading the way in transaction volumes and active addresses.

DEX Trading Volume Soars

The DeFi TVL on the Binance Smart Chain, measured in USD, surged by 67% QoQ to $7.2 billion, positioning the chain as the third-highest in DeFi TVL when denominated in USD. However, when denominated in BNB, TVL slightly decreased by 12%, suggesting that the USD value surge was mainly driven by BNB price appreciation and capital inflows.

Decentralized exchanges on the Binance Smart Chain experienced a remarkable 193% QoQ increase in average daily trading volume, with the total DEX volume for Q1 hitting $1.1 billion. PancakeSwap emerged as the dominant DEX on the platform, with its average daily volume surging by 140% QoQ, solidifying its position as the preferred DEX on the BNB Smart Chain.

Conclusion:

In conclusion, the performance of the Binance Smart Chain in Q1 2024 displayed significant growth in various aspects, reinforcing its status as a crucial blockchain platform. The native token of the exchange, Binance Coin (BNB), is currently trading at $607, showing a 2% increase in the last 24 hours and a 10% increase in the past 7 days, bringing it closer to its all-time high of $686 reached in May 2021.