Binance Smart Chain (BSC) is a blockchain network created by Binance, designed to run smart contracts and decentralized applications (dApps). It allows developers to build and launch applications that can interact with other cryptocurrencies and services.

BSC operates in parallel with Binance Chain, which focuses on trading and fast transactions. By using a dual chain architecture, BSC supports more complex functionalities while still ensuring high throughput and low transaction costs.

One of the key features of BSC is its compatibility with Ethereum. This means developers can easily migrate their Ethereum-based projects to BSC and use existing tools, like wallets and development frameworks, making it user-friendly for those familiar with Ethereum.

BSC employs a Proof of Staked Authority consensus mechanism, allowing for faster block times and transaction confirmations. This has made it popular among users looking for an efficient and cost-effective alternative to Ethereum, particularly during times of high network congestion. Overall, BSC has fostered a vibrant ecosystem of dApps, decentralized finance (DeFi) projects, and non-fungible tokens (NFTs).