![]() ![]() March 2021 saw over 84 million alone, and the upward trend looks to grow. There is a long journey ahead indeed, but let’s look at the journey so far.įrom paying Binance trading fees through to sending tokens on BSC, the amount of BNB transactions has continuously ris en. ![]() To reach ETH’s position, BNB needs to multiply its market cap five times to reach BTC, it needs to grow twenty times. It follows Ethereum in second place and Bitcoin in first. In this article, we'll explore BNB’s rise to the top, its utility and use cases, and a comparison of BNB to other top-ranking cryptocurrencies.īNB holds the third-largest cryptocurrency position by market cap at the time of writing at over $42 billion (USD). The initial price during the ICO was 1 ETH for 2,700 BNB or 1 BTC for 20,000 BNB, which, at the time, equaled roughly $0.15 per 1 BNB. Paying transaction fees in BNB offers users a significant discount. BNB was immediately usable as payment for transaction fees on the new cryptocurrency exchange,, launched just 11 days after the ICO. It initially found its way to the crypto market through an Initial Coin Offering (ICO) taking place from June 26 to July 3, 2017. With the case concluded, Binance, under the leadership of its new CEO, Richard Teng, can now concentrate on developing futuristic crypto products.BNB launched just over three years ago. Upon discovering the news to be bullish, investors drove Bitcoin’s price to around its 2023 high, with the total market capitalization reaching $1.45 trillion. The settlement between Binance and the DOJ, along with other agencies, is a positive development, as it brings an end to the extended case and dispels concerns regarding “Binance laundering money” versus “Binance’s operations failing to maintain AML regulations.” Also, following the plea agreement with the U.S., Binance promptly highlighted that no agencies had accused it of “misappropriating user funds or engaging in market manipulation.” This trend was observed due to Bitcoin’s steady increase from a low of $36K to $38K. Data indicates that Binance experienced an outflow of $3.8 billion against an inflow of $2.3 billion, leading to a net departure of $1.5 billion from the exchange. On November 9th, the volume of cryptocurrency leaving Binance was substantially higher than its recent setback. Even 9 November’s Netflow Was 2.5 Times Stronger Therefore, the withdrawals were motivated by FOMO and panic, resulting from a lack of proper analysis of the settlement, particularly from a bullish angle. These figures represent the actual shortfall or the amount that left Binance during the market downturn on those days, amounting to just 2-3 times the usual Netflow for the exchange. ![]() Viewed from an overall perspective, Binance had a Netflow of -$600 million on November 21 and -$400 million on November 22. This was opposite to the usual trend where they typically deposit assets into exchanges for selling during a price decline. However, at that time, the situation was concerning because the market was trending downward, and holders were withdrawing their assets from Binance. Importantly, the billions in outflows from Binance are not alarming, as data indicates that these figures are consistent with the exchange’s typical outflow levels.ĭata from a Dune Analytics dashboard reveals that while over $2.4 billion in various tokens were withdrawn from the exchange, there were also deposits amounting to approximately $1.8 billion in tokens. However, since that time, Binance’s health has significantly improved, with liquidity recovering from its previous lows. This development follows the resignation and guilty plea of founder and CEO Changpeng Zhao on Tuesday as part of an agreement with a $4.3 billion settlement with the Department of Justice.Īt the same time, there was a 25% reduction in liquidity as market makers scaled back their positions, as reported by data provider Kaiko. Recent days have seen over $1 billion in outflows from Binance, excluding bitcoin, as reported by blockchain analysis firm Nansen. Moreover, on-chain data indicates a swift recovery for Binance’s asset flow. Though it witnessed billions in outflows, this is not particularly concerning as it follows Binance’s typical daily outflow. The exchange recently settled with the DOJ and other regulatory agencies, paying a $4.3 billion fine, a move that has further strengthened its position in the market. However, unlike FTX, Binance is not collapsing. ![]() Almost a year after the collapse of FTX, Binance is now facing its challenges. ![]()
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