The debate over memecoins has once again drawn attention after Changpeng Zhao explained why BNB Chain is not participating in the 'price pump' trend like Solana.

In a podcast conversation with ThreadGuy, CZ emphasized that the difference lies not only in strategy but also in timing, regulation, and risk.

CZ acknowledges that if a platform like Pump.fun were launched on the BNB Chain during the memecoin boom, it would face strict scrutiny. At that time, Binance had to deal with lawsuits and pressure from the U.S. SEC.

“If such a thing happens, I will be in big trouble,” he said, explaining why Binance could not take that risk while regulators are closely monitoring.

The memecoin boom on Solana comes at the right time

CZ pointed out that the surge of memecoins on Solana occurred after SOL recovered from the collapse of FTX. During that period, utility tokens were targeted and labeled as securities under the U.S. regulatory environment.

“So each chain is different, as I understand it, Salona started with a few members of FTX, then FTX went down, the members of Salona were heavily affected but they made a remarkable comeback.”

And why have memecoins been thriving? Simply because of pump-dump.

Memecoins have no utility or intrinsic value. This allows platforms like Pump.fun to thrive, even with high risks, but traders still engage in memecoins with the sole mindset of making quick profits.

Memecoins also do not have to worry about legal issues; many meme participants on Solana simply stopped worrying about regulations, which pushed the ecosystem into a speculative phase and made it more vulnerable to price manipulation.

BNB Chain focuses on utility first

While Solana focuses on memecoins, BNB Chain still emphasizes utility and liquidity. Its ecosystem includes multiple layers such as BNB Smart Chain and Layer 2 solutions, supporting smart contracts and broader use cases.

This approach means fewer sudden price spikes caused by memecoins as before, while helping BNB avoid scrutiny from regulators during a sensitive period.

User attraction activities on BNB

Recently, BNB Chain has started to see more vibrant memecoin trading activity, even surpassing Solana in some areas for a short time. Some tokens reached high valuations, attracting users from various ecosystems.

However, user behavior still differs. Users on BNB Chain tend to hold tokens longer, while Solana still focuses more on trading.

Not a direct competition

CZ made it clear that blockchains are not merely in direct confrontation. Each network develops based on its own conditions.

While Solana attracts attention with memecoins, BNB Chain has chosen a safer path, focusing on building. Now, both operate in their own ways, showing that different methods can coexist in the market.