OAX BEP-20 Token and Working on Binance Smart Chain
While our recent article explored the fluctuations of exchanges in the market and the key players in the space, it’s only natural that we’ve been spending a lot of our time monitoring the changes that have been happening in this space over the last year. Of course we’ve been hearing our community members who have been asking the team to explore additional listings and opportunities for various trading pairs as well.
But the question of where was a matter of huge debate for the team. The final call? Last week we announced that OAX will now have wrapped OAX tokens in the BEP-20 standard, allowing users to explore the potential of exchanges that sit on the Binance Smart Chain (BSC) network.
Some of our community members have expressed interest as to why – between the existing listing that we have on Binance’s platform, and other options such as Uniswap and Sushiswap there was some debate as to why the need for an additional variation? We thought it might be good to do a quick recap of what this wrapped token means, and how it can benefit our members.
While the Binance Smart Chain doesn’t sit on the Ethereum network, it is however compatible and can work with most dApps with minimal changes. BSC runs on a Proof of Staked Authority (PoSA), which allows better network performance and as the name itself says, the high-throughput blockchain was built by Binance and the chain runs parallel to Binance Chain.
With the DeFi conversation heating up within the market, so has Ethereum gas prices, making BSC an appealing offer. With shorter block times, lower transaction and gas fees, we feel that the bridge will help to open more DeFi opportunities for the OAX token. The cheaper and faster proposition has already demonstrated huge interest as can be seen by the drastic increase in trading volume on PancakeSwap within the last two months.
How will OAX token holders transfer their existing tokens from ERC-20 to BEP-20? Luckily the process will be simple! Tokens sitting in Binance wallets can be transferred out as BEP-20 through the normal withdrawal process. Meanwhile, tokens that are stored in an ETH wallet can be converted using Binance Bridge. The bridge goes both ways, allowing users to easily convert their BEP-20 version back to ERC-20 and vice versa. The most important thing for OAX community members to remember is that the token will be wrapped, meaning the newly minted tokens that they receive in BEP-20 will be pegged to the OAX token value.
Of course this isn’t to say that we are stepping away from the Ethereum network, we believe the compatibility between the two blockchains means that development should and can be done side-by-side. The opportunities of extending the OAX token to include the wrapped BEP-20 version simply opens the doors for our community to more options in an ever changing environment.
Naturally the next question will be where can we use the OAX token in its newly minted BEP-20 form. Are you curious? We have something in the pipeline so keep an eye out, we’ll have more updates coming very soon!
Disclaimer: Please remember that any transaction involves an element of risk and is the responsibility of each OAX token holder. Any losses that may be incurred are the sole responsibility of each OAX token holder.