SmartBCH: What is this about and why we should care?

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Avatar for Pantera
3 years ago

There is traction in smartBCH with projects that start looking better after the development of websites and presenting their long term goals.

I find the beginning of smartBCH DeFi ecosystem to be encouraging, with many devs lending a hand and presenting websites, tokens, projects, and fresh ideas.

With this article I presented smartBCH on Hive and I am republishing it at Read.Cash, today.

Source

SmartBCH is a Bitcoin Cash sidechain enabling tokenization, DeFi, and NFTs while also compatible with Web 3.0 Dapps, like Metamask.

Ethereum, with the rise of DeFi and NFTs, has grown into a colossal network with a market cap valuation of $400 billion.

The Bitcoin Cash user base kept expanding throughout 2020 and 2021, even surpassing BTC's number of daily transactions for a while. Still, as an asset, it didn't perform as well as expected. It was DeFi that pushed many projects up in the rankings.

SmartBCH is a BCH sidechain, running on top of Bitcoin Cash, opening up a whole new world of opportunities. With EMV compatibility and Ethereum blockchain interoperability, it creates a bridge between the two networks to interact and exchange value.

Why SmartBCH?

Since Bitcoin Cash blockchain already offers high speeds with 0-conf transactions and remarkably low fees (less than $0.01) why is a sidechain needed?

The purpose of SmartBCH is not about providing a scaling solution and reducing fees. Bitcoin Cash is already scaling perfectly since the beginning. With Bitcoin Cash, transactions are instant and virtually feeless.

Maximize throughput of EVM & Web3 on a sidechain of Bitcoin Cash

SmartBCH is filling the gap of smart contracts, tokenization, and DeFi, which Bitcoin Cash was missing. There had been some developments previously, with SLP tokenization (another BCH layer-2), but DeFi development wasn’t possible. While some projects developed DeFi platforms, these were numbered and there wasn’t a background infrastructure to support them.

Moreover, SmartBCH offers a solution to current Ethereum DeFi projects that suffer from irrationally high fees during times of congestion of the ETH blockchain. SmartBCH, utilizing the extremely low fees of the Bitcoin Cash blockchain, can support Ethereum projects that experience loss of traffic due to the high ETH gas fees.

With EVM interoperability, SmartBCH offers a tokenization process with the use of Solidity language. The tokens created within the SmartBCH network follow the SEP20 protocol and there are developments in protocol standards for NFTs that we will have more information on soon.

SmartBCH also burns Bitcoin Cash for fees since half of the fees it produces are moved to a burn address. So far, 8.88 BCH have been burned after automatically send to the SmartBCH burn address.

There have been tokens created already, but most of them serve a limited purpose at the moment. Still, some are community-driven tokens and have the potential to grow. Currently, there is only one DEX active that also offers DeFi yield farming and trading. This is “Benswap.cash”. As with all DeFi platforms, especially during their early stage, there is a requirement for due diligence and research from the side of investors.

In conclusion

Source: MarketCap.Cash

The first positive signs are already here. The Bitcoin Cash community has already embraced SmartBCH and has high expectations from this improvement in the ecosystem.

To summarize, SmartBCH opens wide the gates of DeFi for the Bitcoin Cash ecosystem. It is not just some kind of marketing scheme similar to DeFi on Tron. It is a complete solution that not just creates a perfect environment for SmartBCH native projects, but can also attract the attention of established DeFi of Ethereum, due to the extremely low fees.

Practically for the user, this means a solid environment is ready and waiting for decentralized finance to be developed and the first ones to arrive will get the most attention from the community.

We can also expect SmartBCH to increase the current Bitcoin Cash user base and already thousands of cryptocurrency enthusiasts are flocking to the SmartBCH token communities. Although this is only because of the hefty airdrops given by some projects, still it boosts the network effect in a similar approach to the ICO days of the Ethereum network.

Finally, one last detail: SmartBCH will not create a native coin/token. Its role is to support and expand the possibilities of the robust Bitcoin Cash blockchain, and it will not become a sidechain running its token like the rest. In case one wants to invest in SmartBCH, the investment should be in Bitcoin Cash.

For more information on SmartBCH visit:

I have also written a user guide to connect with SmartBCH, visit here:
SmartBCH Metamask Tutorial - Connect to Network, Transfer BCH, Add Tokens and Trade on DEXs

Originally published at Hive (via Leo Finance)

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Comments

Highly recommendable. This is a very good project

$ 0.00
3 years ago

A very nice project to be honest.

$ 0.00
3 years ago

Thanks for Informing me, I learned something in your articles.

$ 0.00
3 years ago

Smat BCH is doing great things for our BCH to be part of the top 5 crypto currency’s and I’m loving it.

$ 0.00
3 years ago

Almost every person behind project isn't seriously working except one or two projects and I'm not investing in other coins except Eben and flex these two will shine and waiting when serious persons will enter in smart BCH.

$ 0.05
3 years ago

Flex is a real one, indeed. There will be more serious coming.

$ 0.00
3 years ago

I think now is 90% HYPE and FOMO, until the real tokens will be created

$ 0.05
3 years ago

It is still in very raw status, but I noticed that there is development in terms of creating websites and having targets set. But I am going to expect something really organized that will set the standards.

$ 0.00
3 years ago

Utility brings value in my opinion. Everyone can make a meme token today...

$ 0.00
3 years ago