How Much is 1 Binance Coin Worth?

How Much is 1 Binance Coin Worth?

Cryptocurrency & Blockchain

Binance Coin Future Price Prediction

Binance is an online exchange that not only supports a variety of traded cryptocurrencies but also provides a platform for traders to store their electronic funds. It was founded in 2017 in Hongkong. 

To be more specific, Binance offers more than 600 cryptocurrencies including Bitcoin, Ether, Dodge, and its own token Binance Coin. At first, the BNB token was an Ethereum-based ERC-20 utility token used to reward loyal users by discounting transaction costs.

In early 2019, with the launch of Binance Chain, ERC-20 token contracts were replaced by native BEP (Binance Token Standard) token contracts. Binance and its community developed Binance Chain to realize the vision of a decentralized exchange (DEX). In 2020, the community launched Binance Smart Chain, a modified Proof of Authority EVM-compatible blockchain, to host smart contracts using source code from the Ethereum network. Eventually, BNB became the native cryptocurrency of Binance Smart Chain. 

Prospect 

While Ethereum continues to redesign its architecture, the race for adoption and market share may be far from over for layer 1 smart contract platforms. There will be many twists and turns and problems in the market in the future, and the BNB chain may continue to be one of these solutions.

With its evolving architecture, zk-rollups and sidechain deployments, the BNB Chain is able to offer an additional value proposition to its large user base. If the BNB chain can successfully launch its plans, the network will be able to maintain its position as one of the most valuable networks in the market in the Layer-1 race. 

Technical and regulatory challenges may remain as it expands its user base with applications in new areas such as GameFi and the Metaverse. The BNB Chain also has strategies to address these challenges, including technology landscapes, ecosystem growth funds, and accelerator programs.

While many Layer-1s like the BNB chain have experienced exponential growth in 2021, the market volatility and bear market in 2022 has put downward pressure on its network usage and performance. To sustain itself during such turbulent times, the BNB chain needs to ensure the security and reliability of the network. 

Factors Affecting BNB Price 

In just a few years, Binance Coin has managed to take the lead in the crypto market. Currently, Binance Coin becomes paired with over 400 other currencies, making it one of the most liquid trading options. The following factors can help the coin rise so high and determine its future price: 

1、Binance Coin Quarterly Burn – Binance burns a small fraction of Binance Coin every three months. That is, half of the initially issued Binance Coins will eventually remain. Every time an event occurs, the price of Binance Coin goes up. The only exception was during the January 2018 bear market. However, this price surge did not last long in the price of the coin, as interest rates always pulled back shortly thereafter. 

2、New Product Launch – The launch of Binance DEX and Binance Chain played a major role in Binance Coin’s price increase. Binance Coin is one of the main assets traded on the DEX. Due to the release of DEX, people started to use BNB more frequently.  

More use cases can lead to greater adoption, which will affect the price of digital currencies.

3、Conquering new markets – The success of Binance Coin is largely dependent on the success of its platform. Binance Exchange is actively expanding its reach and exploring new markets. Recently, they opened branches in the US and South Korea and added trading pairs with the Russian ruble. It can be seen that Binance is developing its user base and loyal community around the platform and cryptocurrency. As a result, which will also drive the price of BNB up. 

4、More IEOs (Initial Exchange Offerings) – Exchanges have their own platforms that allow startups to launch crowdfunding campaigns. During the token sale, Binance Coin becomes used to purchase new tokens. This move has participants actively buying the token in order to increase its trading volume and price.

Price Forecast 

BNB is a cryptocurrency with potential and strong technical support. Under the blessing of the above factors, BNB will grow moderately in the next three years, and will remain in the price range of $30-35 until 2025, and peak at more than $40 in 2024 or later.

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How Much is 1 Binance Coin Worth?

Cryptocurrency & Blockchain