Binance Smart Chain (BSC) Gas Fees Could Be Reduced by 3 to 10 Times

Binance founder Changpeng Zhao, better known as CZ, has a plan that could drastically reduce gas fees on the Binance Smart Chain (BSC).

Binance founder Changpeng Zhao, better known as CZ, has a plan that could drastically reduce gas fees on the Binance Smart Chain (BSC). In a statement on X earlier this week, CZ floated cutting fees by as much as three to ten times, a bid to make the network more competitive.

This comes at a time when BSC is facing increasing pressure from other blockchain networks. The cost efficient transactions by platforms such as Solana have inspired Binance to consider how it can restructure its fee model. CZ’s idea is to make BSC more attractive to users and developers.

“Let’s lower the BSC gas fee. three times or ten times?” CZ asked on X at 6:53 UTC on May 7, 2025. The crypto community was quick to react to this question, as it illustrates how important the possible change could be. Lowering the fees could increase the transaction volume and entice more projects to the BSC ecosystem.

This installment of TechNode Global's biweekly series on legal developments in China's blockchain and cryptocurrency scene focuses on a pair of cases that highlight the legal issues arising from the intersection of blockchain technology and traditional financial products.

In April 2023, a judge in the Intermediate People's Court of Ningbo City ruled in favor of the plaintiff, Chainalysis, in a case against a defendant identified only as "Wang," who was ordered to pay 1.88 Bitcoin (BTC) in compensation plus legal fees. The case involved a fraudulent investment scheme using Bitcoin.

The court's decision in Chainalysis's favor is noteworthy because it recognized the legal status of Bitcoin and other cryptocurrencies in China, despite the government's ban on cryptocurrency trading and fundraising.

The defendant, Wang, had invited the plaintiff, a cryptocurrency analysis firm, to invest in a project that purportedly involved arbitrage opportunities on the Huobi exchange. However, after the plaintiff invested 1.88 Bitcoin, the defendant ceased all communication.

The plaintiff sued the defendant for fraudulent misappropriation of cryptocurrency assets. During the trial, the defendant claimed that the parties' communication was through the use of a VPN and that the transactions were conducted in Bitcoin, which is not a legal tender currency in China. He argued that the court should not have jurisdiction over this "cross-border" matter.

However, the court ruled that although the parties used a VPN for communication and the transactions were in Bitcoin, they met in China to discuss the investment project, and the defendant's actions clearly fell within the scope of fraudulent misappropriation of assets as defined by the Chinese Criminal Code.

The court also recognized that cryptocurrency assets have exchange value and economic value, and they are protected by law. Ultimately, the court ruled in favor of Chainalysis, ordering the defendant to pay the misappropriated cryptocurrency assets and legal fees.

In another case decided in March 2023 by the Intermediate People's Court of Beijing, a lender was ordered to return digital currency to a borrower. This case involved a loan agreement between a lender surnamed Shi and a borrower surnamed Li.

After the parties signed a loan agreement, the borrower transferred 0.5 Bitcoin to the lender's digital currency wallet. However, the lender later claimed that the borrower had not repaid the loan principal and interest in full.

The borrower sued the lender in December 2022, demanding the return of the digital currency. During the trial, the lender argued that the loan period had expired and the borrower should have repaid the loan principal and interest in full.

The court's analysis focused on the parties' intentions and the purpose of the transactions. Although the parties did not specify the type of digital currency in their lawsuit, the court recognized that digital currency is a form of valuable asset.

Ultimately, the court ruled in favor of the borrower, ordering the lender to return the digital currency to the borrower's digital currency wallet within ten days of the verdict.

These two cases highlight the legal issues arising from the intersection of blockchain technology and traditional financial products. The courts in China are increasingly being called upon to resolve disputes involving cryptocurrency assets and other blockchain-related matters.

As China continues to develop its legal framework for the digital economy, it will be interesting to see how the courts balance the government's policy objectives with the need to protect the rights and interests of litigants in this emerging domain.

This installment of TechNode Global's biweekly series on legal developments in China's blockchain and cryptocurrency scene explores recent cases showcasing the legal issues arising from the intersection of blockchain technology and traditional financial products.

In April 2023, a judge at the Intermediate People's Court of Ningbo City ruled in favor of plaintiff Chainalysis in a case against defendant Wang, ordering the defendant to pay 1.88 Bitcoin in compensation plus legal fees. The case involved a fraudulent investment scheme using Bitcoin.

The defendant, Wang, had invited the plaintiff, a