By now, even casual crypto investors have heard of Binance – the most profitable exchange in the game today. One of the things that have helped the trading platform become so successful is the introduction of its own native crypto token – the Binance Coin (BNB).
The Binance Coin, also commonly referred to as the BNB Token, runs on the Ethereum blockchain and is used as the underlying gas to power the Binance ecosystem.
BNB offers holders up to a 50% reduction in fees on the Binance trading platform. It also has what’s known as a built-burn rate – meaning Binance will use 20% of its quarterly profits to buyback and burn their own tokens. This process will occur until the supply of BNB is 50 percent of the original amount. These are just a couple of the features that have helped make the altcoin the 17th most valuable crypto in the world by market share.
At press time, a single Binance Coin is going for around $9.67. However, there are several pundits who believe, as the 1970s Canadian rock band Bachman-Turner Overdrive famously sung, “You Ain’t Seen Nothing Yet.”
Disclaimer: This article is not intended to be investment advice. Readers are strongly encouraged to do their own research before investing in any cryptocurrency.
In early-August, an author known simply as David, published an article that featured several BNB price predictions. The piece was published on the site CoinPricePrediction.org, which, as the name suggests, is a site that offers crypto price predictions.
David wrote that individual Binance Coins could be going for as much as $32.10 by December of 2018. Moreover, according to his forecast, the altcoin can be expected to reach $189.18 by the end of 2019.
When citing his reasons for the bullish BNB prognosis, the author wrote, “It is the fastest growing coin in the Chinese market. The BNB transacts over $1B per day and can process above 1.5 million orders per second. The coin is rapidly overtaking any other exchanges in the world. The main reason for BNB in the impressive rise in the price chart is Security, Scalability and Low Transaction Fees.”
Those who have read our previous price prediction articles, may remember Palwasha Saaim. For those who haven’t (or need to be reminded), she is a Research Analyst at Lombardi Financial, who also covers cryptocurrency for the website Profit Confidential.
Saaim can be counted among those who believe Binance Coin has a very bright future. A big reason for her optimism is based on Binance’s plan to launch a decentralized trading platform in the days ahead.
In her own words, “the company is now launching a decentralized platform for trading named “Binance Chain,” which will be built on the blockchain technology and adopt the already existing Binance Coin as its native coin.
What this simply means is that once the exchange is up and running, Binance Coin will become the token of exchanging value, not Bitcoin or Ethereum, against which most altcoins trade on ordinary crypto exchanges.
In other words, every time a new investor will join Binance’s decentralized exchange, automatic demand will be generated for Binance Coin.
It’s easy to put two and two together now. Binance Coin will see a surge in price and speculators have already begun hoarding it in anticipation.”
She goes on to say, “In short, Binance Chain will be an opportunity for Binance to lure more investors to its platform.
Considering the size of trades that take place on Binance, it’s safe to expect Binance Coin to more than double in price once Binance Chain takes off. The price target is not too difficult to fathom given that BNB coin has, at one point, traded for as high as $21.48 apiece.
So, we are foreseeing Binance Coin retracing its steps to its all-time highs, and eventually beyond.”
In classical antiquity, an oracle is a person who provides wise and insightful counsel or prophetic predictions of the future, inspired by the gods.
However, for our purposes, The Oracle is a writer for LifeAfterBlockchain.com, who published BNB price prediction article last June. For reference, a single BNB token was trading for around $16.32 when this article was released.
The blogger believes that the reduced trading fees BNB provides, the built-in burn rate, and the fact that Binance will soon launch a decentralized exchange (that will likely use the token) are among the altcoin ’s competitive advantages.
In his (or her) piece entitled “Binance Coin (BNB) price prediction: $784?”, The Oracle writes, “My personal target is a $2 trillion market cap for all cryptocurrencies. If we hit that number, we’d be at just 10% of the $20 trillion U.S. GDP. Under that scenario (assuming current coin ratios stay the same), the price of Binance Coin (BNB) would be around $ 77.66. If we hit 50% of the U.S. GDP, we’d be at $392.40 per BNB. At 101% of U.S. GDP, we’d be looking at a future Binance Coin price of $784.80. BNB is one of the few cryptocurrencies to exceed the values it hit during the December/January crypto rally.”
Is this a prophetic prediction or crypto craziness?
Only time will tell.