The Binance Smart Chain is a blockchain that uses proof-of-stake consensus mechanism and is built on EVM (Ethereum Virtual Machine). Along with that Binance Smart Chain is technically capable of supporting development of smart contracts. While it is pretty much similar to popular blockchains like Ethereum and TRON, it has now become a go to platform for dApp and DeFi development.
Binance Smart Chain supports building robust decentralized applications (dApps) using smart contracts. As a result, over 66 dApps have been built using BSC to date. Along with that BSC is designed to support scalability and speedy transactions making it the best choice for the development of MLM software. Detailed features of Binance Smart Chain that supports MLM business model are:
Binance Smart Chain (BSC) a sidechain. Basically, it runs parallel to the Binance Chain. It was designed to introduce smart contracts to the Binance ecosystem without high impacting the throughput of the Binance Chain.
Managing an MLM platform becomes a tedious task as the network grows. This is because an MLM software must be able to manage the load of transactions like onboarding new participants, customer management, sales performance management, sales commission management and inventory records, inventory distribution, logistics for every network participant. As the network grows, these transactions can clog the less performant blockchains. This could lead to transaction delays and an increase in transaction fees.
Binance Smart Chain was designed to complement the already powerful Binance Chain. Thus, the dual-chain architecture provides users an easy-to-use platform for seamless transfer of assets to and from other blockchains.
The BEP-2 and BEP-8 token of the Binance chain are already interoperable with BSC’s BEP-20 tokens. Along with that, digital assets like BTC, ETH, LTC, EOS, and XRP already exist as Peggy coins on Binance Chain. Because of the flexibility of BSC, assets from different chains can be used making it highly interoperable.
Binance Smart Chain is architecture to deliver a block time of 3 seconds. It is capable of achieving this with Proof-of-Stake (PoS) consensus algorithm. Basically, it uses an advanced version of PoS known as Proof of Staked Authority (or PoSA). The ecosystem participants stake BNB to become transaction validators. The validators are incentivized to validate the transactions. As they have a stake in the network, they ensure complete security of the Binance Smart Chain.
Apart from infrastructural support, Smart Contract-Based MLM software on Binance Smart Chain can operate without a middleman. As a result, it supports peer-to-peer transaction set up which facilitates the development of a transparent MLM business model.
Every transaction executed on the MLM based on BSC will be recorded on the chain and will be accessible publicly. As a result, the MLM industry can overcome one of the biggest challenges of not being transparent which earns a bad reputation for most of the MLM organizations.
BSC inherently capable ofsupporting speedy transactions. Along with that, the smart contracts ensure the commission pay-outs are carried out in an undisputed and timely manner.
The Binance Smart Chain is one of the most secure blockchain. As each transaction recorded on-chain cannot be changed or deleted, the MLM participants can trust the platform and carry out safe and secure transactions.
Along with the transactions, BSC also supports the immutability of terms of contracts. That’s because the terms and conditions of the contract are programmed in the smart contract. These cannot be changed unless both parties agree to do so. Thus, the platform users can always trust the MLM platform.
If the name of Binance is not enough to convince you then you can do your homework and find out about the most conducive structures for MLM businesses.
Binance Smart Chain is compatible with Ethereum DApps and is compatible with Ethereum Virtual Machine (EVM). As a result, if you have a smartcontract-based MLM platform built on Ethereum, it can easily be switched to Binance Smart Chain for scalability and speedier transaction support.
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