Update
Binance Responds to BNB Chain's New L1 Proposal
Binance co-founder Changpeng Zhao (CZ) responded to BNB Chain's development of a new Layer 1 blockchain that will operate alongside BNB Smart Chain (BSC) without introducing a separate native token. The proposal aims to extend BNB Chain's infrastructure for faster trading and payment applications. Technical documents describe a network targeting 200-millisecond blocks and 20-millisecond transaction pre-confirmations, with an early 2027 mainnet launch planned. Unlike a migration from BNB Smart Chain, the proposed network will run in parallel with the existing blockchain, with BSC continuing to host decentralized finance applications and New L1 serving time-sensitive activities such as on-chain order books, high-frequency trading, and real-time payments. The token will remain the gas and staking asset on New L1, eliminating the need for a separate native coin. Under the proposed staking arrangement, users who stake BNB through StakeHub receive non-transferable govBNB at a one-to-one ratio, with delegated govBNB determining voting weight in network governance.