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In 2017, Binance, a decentralized finance (DeFi) company, was launched alongside BNB, the platform's native cryptocurrency. BNB was initially released on the Ethereum blockchain, but as Binance grew, it introduced Binance Chain and Binance Smart Chain to support BNB and other projects.
In early 2022, Binance combined Binance Chain and Binance Smart Chain to create BNB Chain, which helped to simplify the protocol and gave new meaning to BNB, which was rebranded to mean "Build and Build."
BNB Chain operates in a similar manner to other mainstream blockchain networks, some elements of which are broken down below.
The BNB Beacon Chain is the staking and governance layer of the BNB ecosystem, while the BNB Smart Chain is an EVM-compatible blockchain that helps connect BNB Chain to other networks.
Here are some key technical elements that define how the BNB Chain blockchain operates:
BNB Chain simplifies transactions using the Parlia consensus engine. This combines Proof of Authority and Proof of Stake into a Proof of Staked Authority (PoSA) consensus mechanism, which uses a set of validators, elected by BNB stakers, to produce and validate blocks.
Here's a brief breakdown of how BNB Chain transactions work:
Follow these steps to buy BNB:
These steps will allow you to purchase BNB and participate in the BNB Chain ecosystem.