As you read this sentence, BNB is soaring at a value of more than $621. Of course, if you have been following the prices of other cryptocurrencies, this value might not seem too big. However, here’s the interesting part; the same digital coin was trading at only $46 on February 1, 2021.
You can safely say that the value of the coin has gone up nearly 14 times its value in February. This upward trend might not be very short. In fact, it is predicted to continue in the same direction looking at the current standing of Binance Exchange in the market and the announcement of its plans in the coming days.
“BNB could be the new Ethereum, or even better,” says the CEO of Onebtc.online, Frank Colton. As per him, “Ethereum had always remained the biggest and only rival of Bitcoin since cryptocurrencies started and hence it always remained in the limelight. The same trend will follow for Ethereum as well because Binance has appeared as a new rival to Ethereum.”
One has to keep in mind that the popularity of the BNB is not limited to its own value or its link with Binance as an exchange. In reality, the big difference has been brought in by the introduction of BSC, which stands for Binane Smart Chain.
It’s a new blockchain for public that has been offering the cheapest and most affordable transaction costs to its users. In addition to the small fees that people already love, the use of Binance token, which will act as a value carrier on the platform, will offer the users even more discounts and perks.
“You have to realize that Bitcoin users were never going to endorse Ethereum because that’s what the nature of ‘fanbase’ is. However, deep down in their hearts, they knew Ethereum was a better solution or at least a formidable force in the cryptocurrency industry. Binance Smart Chain has emerged as a savior for Bitcoin users. They now have a place where they can claim the same rights as perks as Ethereum users without becoming Ethereum users,” said Onebtc CEO.
The current increase in the price has given Binance Token a great market cap as well. Currently, its market cap is roughly 11% of the market cap of Bitcoin, which is a huge achievement for a new value token that was nowhere to be seen just a few months ago.
The only thing that does not play in the favor of Binance Token at the moment is that it does not hold very true to the nature of the cryptocurrency or the blockchain technology. In other words, it is not as decentralized as the backers of the decentralized blockchain network would want it to be.
In the event of law enforcement agencies try to regulate BNB in the future, they know where they have to go i.e. those who own more than 80% of the coins. Yes, BNB is still only 20% distributed to the public and the rest belongs to its developing team.