Find out Why BNB is Going to Explode in 2021
The crypto market is flourishing with new cryptocurrencies, exchange platforms, and opportunities. With advancements in blockchain, there will be continuous growth in the coming decades too.
One of the cryptocurrencies that are going to soar in 2021 is Binance Coin. BNB has shown tremendous growth of almost 642.12% since the beginning of January. It is expected to hit another all-time high this year. Crypto hoggers are curious to know why the Binance coin is going to explode in 2021.
Looking At 2021: Is Binance Coin Price Set For A Massive Year?
Binance Coin kickstarted this year with a price of $40.2, and it sits at a range of $274.19 today which is a remarkable growth. BNB has soared to mythic heights to hit an all-time high of $342.88 on February 19, 2021. Breaking its all-time resistance with a sustained rally, BNB has become one of the best utility tokens in the crypto market.
Let's dig a bit deeper into BNB's growth, market price, and driving fuel for growth.
Several factors back up the prediction that Binance Coins (BNB) is going to explode in 2021. Here are a few among them.
#1: BNB's Unstoppable Rally
Binance Coin had a tremendous market-take over from the beginning of this year. From the 10th position, it tremendously surged up to secure the 3rd position in the CoinMarketCap ranking. Today, it's the world's third-largest cryptocurrency, with a market cap of around $42,665,604,801.
A large chunk of its popularity comes from its exchange platform, Binance Exchange. It is one of the world's largest, fastest-growing cryptocurrency exchanges and a highly secured platform. The main objective of BNB is to support operations going on the Binance exchange.
BNB's rally in February is worth mentioning. From oscillating between $20-$40 for over more than a year, BNB surged high, doubling its price in February, hitting an all-time high of $342.88. Investors have a positive outlook on Binance Coin's growth and predict that it is going to explode in 2021.
#2: BNB's Unique Features
Binance Coin is one of the best utility coins that provide discounts to traders when they use it to buy other cryptocurrencies in the Binance Exchange. The benefit of investing in BNB is thus its discount coupons. Binance users receive specific discount coupons while paying fees on the exchange. It is a unique incentive that facilitates fee reduction and creates a community of supporters.
There is a high demand for BNB coins in the market since it has a limited supply of 170,532,785 coins. Eventually, the value increases as almost 154,532,785 coins are currently in circulation. The uniqueness of BNB is that it offers fast transactions with the lowest fees of 0.1% for all traders.
This utility coin is not just confined to the Binance ecosystem but can also be used as a payment method for online purchases, travel, entertainment, credit crypto card bills, etc. Thanks to its fastest-growing cryptocurrency exchange, BNB is also accelerating its growth in terms of the trading volume.
#3: BNB's Security Features
One factor that boosts BNB's value is that it is a highly secured and most trusted crypto exchange in the market. Unlike other cryptocurrencies, Binance Coin has a highly secured protocol known as the Byzantine Fault Tolerance (BFT) consensus mechanism.
Centralized exchanges need to increase security investments in advanced technologies like Threshold Signatures (TSS). It ensures the absolute security of the user's funds. As a step ahead to provide security, Binance has open-sourced the TSS library. Recently many community developers are also actively contributing to it.
#4: BNB's Community Support
Yet another prominent factor that backs Binance Coin's growth is its incredible support from Binance Angels Community. It includes dedicated BNB and crypto users who have a purported goal of expanding crypto adoption in their local communities.
#5: Binance Burn
Binance burn is a unique strategy employed by the team to increase the demand and value of the coin in the market. Every quarter, Binance burns out a specific percentage of its coins to make it scarcer. As demand increases, the value will eventually rise. The number of BNB burned in 2020 was 13,3840. In 2021 they have plans to accelerate the process of burning coins every quarter.
Considering all the factors, it is clear that Binance Coin is going to explode in 2021. It is going to be on investors' favourite list for the long haul.
Significant Advancements In Binance Ecosystem
1. Launch Of Binance Smart Chain
One notable update on the Binance ecosystem was the launch of the Binance Smart Chain (BSC). The creation of smart contracts and staking mechanisms for BNB is what BSC enables. Some of the significant benefits of Binance Smart Chain that contributed to the growth of Binance exchange are:
- Cheap transaction fee
- Increase DeFi interoperability by Cross-chain DeFi mechanisms
- High-performance network
- Expansion of Binance ecosystem
2. DeFi Adoptions
There is an increased interest in alternative financial solutions powered by blockchain today. Due to this, DeFi projects are gaining much popularity and support now. When it comes to DeFi, BNB has a fair investment in global crypto payment providers like Swipe, DEX aggregator, etc. The creation of Binance DEX is yet another step towards incorporating DeFi components.
3. Binance Card
Binance Card is a significant update that is hugely popular among users today. Users can seamlessly spend their crypto directly from the Binance crypto wallet using a Binance card. It offers a convenient method of crypto payment and is a remarkable advancement in the Binance ecosystem.
Binance Coin Is Going To Explode In 2021: The Bottom Line
From a high surge in its price to DeFi adoptions and the inclusion of Smart contracts, Binance Coin is moving forward to reach greater heights but at its own pace. Within just a week, BNB has surged almost 11%. If this continues, it is again going to hit yet another all-time high this year.
Given its array of advancements and updates in its ecosystem, Binance Coin could explode tremendously in 2021. It offers multiple opportunities for investors and has a positive outlook throughout the year, making it one of the best long-term investment options in the crypto world.
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