Binance coin (BNB) has gone contrary to the behavior pattern which is usually exhibited by most cryptocurrencies asides from stablecoins. It is one where virtual assets follow the price trend of Bitcoin, and as such, its spike and dump in value can be replicated in theirs. However, BNB which is up by 140% since the year began has done otherwise, and it has gotten the attention of Justin Sun, TRON’s CEO.
Justin Sun Congratulates BNB, Says its the New Bitcoin
In a tweet on March 5, Justin Sun congratulated BNB stating that it is the new Bitcoin. While his opinion is similar to many others out there, it stood out because it is coming from a reputable member of the cryptocurrency industry. It is also commendable given that Sun is the founder of TRON foundation, a company backing the TRX cryptocurrency which is the 10th most popular virtual currency by market cap.
— CZ Binance (@cz_binance) March 5, 2019
Now, what may have gotten the attention of the CEO and other cryptocurrency enthusiasts to Binance coin of late?
For starters, BNB is currently ranked 7th on Coinmarketcap for its $2 billion market cap which differs from the $700 million that was recorded on January 1, 2019. Binance, a Malta-based cryptocurrency exchange developed BNB. Binance, on the other hand, is the most popular virtual exchange in the world whose BNB token is used to pay transaction fees on the platform. There are also plans that it will be used to pay gas fees on Binance chain.
BNB’s Steady Rise Over the Past Year
As a result, it does not come as a surprise that BNB’s value has been on a steady increase in the past year. While Bitcoin may have declined further in late 2018, BNB’s price has been on the rise.
Another reason that can be attributed to it is the use of a virtual asset to buy tokens on Binance Launchpad. BitTorrent and Fetch whose token sale held on the platform were either purchased with BNB or Tron (TRX). Moreover, the next one that has been scheduled will be solely bought with BNB.
Currently, BNB is trading at $14.87, and on March 8, the asset closed around $15. This is a virtual asset that began the year at $6.19, and as cryptocurrency analysts have made such prediction that by the end of the second quarter of the year, BNB may go as high as $30. Therefore, our fingers are crossed to see how this may turn out and if it can beat its all-time high of $24 sooner than we expect.
Binance Sets Up Meetups and Charity Events
Asides being popular for its exchange, Binance also embarked on some meetups and charity events. In a recent report, the cryptocurrency exchange revealed that its venture arm, Binance Labs will be partnering with the Argentine government to launch blockchain projects in the South American nation. Therefore, projects of this nature may have indirectly drawn investors interest to BNB.