Although the shutdown of BEP2 is only scheduled for June, Binance already recommends that investors convert their assets, which can be carried out at the broker itself.
Binance Coin next to BNB with BUSD trading screen
In a note published this Thursday (8), Binance stated that it will be supporting the closure of the BNB Beacon Chain, better known as BEP2. As a recommendation, it asked its users to convert their cryptocurrencies hosted on BEP2 to other networks.
According to a roadmap published by BNB developers, the first stage of BEP2 closure will begin in April. The last stage is scheduled for June 2024. For now they are in the preparation phase, including communications with brokers and users.
“Centralized exchanges, especially Binance, and wallets like Trust Wallet, are being advised to stop asset transfers to the Beacon Chain,” the developers said about the current phase, also highlighting that “efforts are being made to link all assets BEP2 and BEP8 to the BNB Smart Chain (BSC)”.
Binance Coin (BNB) BEP2 Discontinuation Roadmap. Source: Reproduction.
Binance recommends converting cryptocurrencies linked to BNB BEP2
As the broker that makes the most deposits and withdrawals linked to the BNB network, Binance issued a statement this Thursday (8) asking for agility in the conversion of assets. Withdrawals of so-called B-Tokens (Binance-pegged tokens) are already suspended.
Explained in simpler terms, Binance is referring to cryptocurrencies “wrapped” on the BEP2 network, including Bitcoin, Ethereum, and stablecoins. The list of 41 cryptocurrencies linked to BEP2 can be seen on a special Binance page. Cryptocurrencies linked to BEP20 do not undergo changes.
“With immediate effect, withdrawals of B-tokens on the aforementioned network are suspended.”
“Withdrawals of all other tokens on the mentioned network will be supported until 02/21/2024 at 23:59 (UTC),” Binance informed. “After 02/21/2024 at 11:59 pm (UTC), users will no longer be able to withdraw tokens through the aforementioned network. Users can withdraw tokens via other supported networks where applicable.”
Example of cryptocurrencies wrapped in BEP2. Source: Binance/Reproduction.
Although the shutdown of BEP2 is only scheduled for June, Binance already recommends that investors convert their assets, which can be carried out at the broker itself.
“Prior to the closure of the BEP2 network, users are encouraged to deposit BEP2 tokens (B-tokens) into their Binance accounts. These tokens will be credited and users will be able to withdraw them through their native chain or other chains supported by Binance.”
Given this, the broker informs that deposits of tokens linked to BEP2 remain open indefinitely. In any case, it is always good to speed up the process, carrying out the conversion as calmly as necessary to avoid any errors caused by haste.
BNB continues to operate normally
Despite the BEP2 shutdown, Binance Coin (BNB) continues to operate normally. At the time of writing, BNB is trading for $319 and is the 4th largest cryptocurrency on the market.
In a note, the developers highlighted that this “represents a strategic evolution towards a more simplified, secure and efficient blockchain ecosystem”.
The change should affect few users, after all the majority already use BEP20 to carry out transactions due to its greater efficiency and lower cost. Even so, data reveals that there are 11,342 BTC linked to BEP2, an amount equivalent to R$2.5 billion, in addition to other currencies.