Altcoin News

Binance Coin triples in value in 3 months

Binance Coin is currently the hottest cryptocurrency after managing to triple its value over the past three months. The crypto coin is presently trading at around $15. Interestingly the surge comes at a time when the broader cryptocurrency market has little changed in the wake of last year’s meltdown that saw many coins lose over 90 percent of their value.

Binance Coin Is Now In The Top Ten

The market cap for BNB has also been on a steady rise since last December and its currently above the 2 billion mark according to data from CoinMarketCap.com. The growth of the coin is the latest twist in the dramatic rise of Binance crypto exchange which was founded by Changpeng Zhao in 2017.

The stellar performance of the coin and the exchange which is the largest digital asset platform by traded volume in the world has left many impressed. Speaking to Bloomberg, Tushar Jain who is a managing partner at Multicoin Capital Management hedge fund was full of praise for the Binance team stating “this is the best executing team in crypto.” Adding “we expect to hold them for the foreseeable future.”

Binance Coin is used by holders to pay the fees that are charged by the exchange for trading. It’s also fast becoming a favourite medium of exchange among the issuers of ICOs which are being offered on the crypto exchange’s Launchpad.

The new initiative is allowing crypto startups to raise money by listing on one of the most liquid cryptocurrency exchanges in the world which already boasts around $1 billion in daily trading volume.

What has helped boost the profile of Binance Coin is the parent company’s practice of tying the performance of the platform to the number of tokens that are in circulation. When the exchange launched back in 2017, 200 million coins were issued through an ICO however to ensure the tokens don’t lose value; the company plans to spend 20% of its profits every quarter to buy back and destroy the BNB coins over the next ten years.

Can Binance Coin keep outperforming the other cryptocurrencies? Share your thoughts in the comment section below.

coinmag

Basil has three years of freelance experience writing on disruptive technologies. He focuses on breaking news and education pieces; helping to spread the gospel of Blockchain. He hopes to have his own blockchain company one day; helping the world through its innovative ledger technology.

Leave a Comment

Your e-mail address will not be published. Required fields are marked *