Arbitrum Vs. BSC
BNB Chain, as one of the most popular blockchains in the crypto industry, aims to provide an infrastructure for future public adoption, and always remains a community-first and open-source ecosystem built on a permissionless and decentralized environment. Binance Chain and Binance Smart Chain have formed together as BNB Chain since February 15, 2022. BNB Chain comprises BNB Beacon Chain (previously Binance Chain) and BNB Smart Chain (previously Binance Smart Chain).
Arbitrum on the other hand is a suite of Ethereum scaling solutions that enables high-throughput, low-cost smart contracts while remaining trustlessly secure. Arbitrum has three modes: AnyTrust Channels, AnyTrust Sidechains, and Arbitrum Rollup. The platform is designed to make it easy for developers to execute unmodified Ethereum Virtual Machine (EVM) contracts and Ethereum transactions at layer-2 while still benefiting from Ethereum’s excellent layer-1 security.
In This dashboard, the transactions on both of these chains have been compared with each other and analyzed in the last 7 days.
The required data for this analysis were collected from the fact_transactions table of the core schema of bsc and arbitrum databases. Also, the price of BNB and ETH was selected from the fact_hourly_token_prices table of the core schema of the ethereum database.
Although the transaction volume on Arbitrum has been higher compared to BSC in the majority of hours, there have been occasions when the native token value of transactions was higher in BSC. The native token trend on both chains has been similar to the trend of USD volume. The BNB value of BSC volume is more distinctive since its value is much lower compared to the value of ETH, hence resulting in a higher amount.
In conclusion, the analysis of transaction data on BSC and Arbitrum chains has demonstrated that the activity on Arbitrum was much higher in the last 7 days compared to BSC. Every single metric, from the volume itself, to the number of transactions, the number of senders and receivers, and higher gas fees have indicated a more dynamic ecosystem in Arbitrum. Since there has been a large distance between the market cap of Ethereum and BNB Smart Chain, it could be expected that Ethereum is the go-to choice of many developers in the crypto space. Hence, its layer2 solutions might experience a higher amount of activity, which in reality is generated from the Ethereum. Last but not least, the volume and number of transactions at different hours of the day have indicated that although there have been similarities between the two chains, their core user base has been in different regions around the world.
The USD value of transaction volume of Arbitrum has been higher than BSC throughout the last 7 days. While Arbitrum has seen volumes above $1M for multiple hours through the week, the volume of BSC was much lower except for only a few hours. The volume on Arbitrum has drastically dropped in the last few days compared to the early days. However, the transaction volume on BSC has stayed almost similar and kept a steady trend.
As the volume data suggested, the number of transactions on BSC has been much lower compared to Arbitrum. While Arbitrum has registered a transaction number of between couple hundreds through multiple thousands, BSC has seen hours with less than 5 transactions. Overall, the number of transactions has been lower in the last few days compared to the beginning of the measured period.
The number of unique senders and receivers has been demonstrated in the chart below. Similar to other data, the number of users on Arbitrum has been much higher compared to BSC, and the number of senders has been higher compared to the number of receivers on both chains. Overall, the number of users has had a slight downward trend during the measured period.
A higher number of transactions as well as a higher transaction volume has resulted in higher transaction fees on Arbitrum compared to the BSC. The overall transaction fees have immensely decreased in the last few days compared to the initial days.
Interestingly, the average gas price has been higher in BSC compared to Arbitrum except for 24 hours from the 28th of June to the 29th of June when the gas prices were much higher on Arbitrum.
To query the proper data, only the successful transactions with a native token value above zero, and with a transaction fee of below one were selected to remove other transactions.
Note: The time frequency of the analysis was set to the last 7 days.
For the U.S. Dollar values of measured indices, the price wrapped ETH and the price of wrapped BNB was selected from the prices table.
The analysis of transaction volume through different hours of the day has indicated that each chain has had a different peak time during the day. While Arbitrum has seen peaks around 2, 13, and 17, the peak hours on BSC have been on 4 and 21. Overall, while BSC has had a high volume between night and midnight hours, Arbitrum has had its highest volume around early hours in the morning and around noon to the evening.
The peak hours when the number of transactions was high has had a different pattern compared to the volume. The highest activity on BSC was during the last hours of the day, while Arbitrum has seen a high activity from morning to afternoon. The number of transactions during various hours suggests that these two chains were probably utilized by users in different regions around the world.