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Binance Smart Chain: Is This the Riskiest Chain in Cryptocurrency?
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Binance Smart Chain: Is This the Riskiest Chain in Cryptocurrency?

May 12, 2025

Binance Smart Chain is a leading player in the world of digital currency. The cryptocurrency was first introduced in 2017 on the ETH blockchain as an ERC-20 coin, but quickly transitioned to its own blockchain as a fork of Ethereum.

Under the leadership of Binance’s CEO Changpeng Zhao, the crypto token successfully completed a highly successful ICO for 100 million BNB. Today, BNB confidently ranks among the top five tokens by trading market capitalization, thanks to its low protocol fees and numerous advantages.

Standard Chartered is making a significant wager on Binance’s native crypto token. A recent analysis reviewed by 99Bitcoins indicated that BNB could reach $1,275 by the end of the following year, and increase more than fourfold to $2,775 by 2028.

That said, BNB is one of the most debated cryptocurrencies in the entire trading market. Let’s explore the reasons why:

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Binance Smart Chain is Rising, Why?

The BNB token features several applications:

    1. Binance Credit Card Perks: Use BNB to make purchases globally with the Binance card and receive cashback in BNB
    2. Staking: Binance provides BNB earning yield options, either flexible or locked, offering around 7-20% APY.
    3. Reduced Trading Fees: Binance Token provides discounts on trading fees on the Binance trading network, often referred to as a ‘discount coupon.’

Binance utilizes an innovative consensus model known as Tendermint Byzantine-Fault-Tolerant (BFT), which incorporates various types of nodes (network node, witness, and accelerator nodes).

It’s worth mentioning Binance’s immense popularity as an exchange and the concerns some have regarding its excessive centralization.

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At just shy of $700 today, this would indicate a significant shift in valuation.

Standard Chartered analyst Geoff Kendrick likened BNB’s growth trajectory to a mix of BTC and Ethereum, implying its future performance will closely mirror the two titans regarding returns and market fluctuation.

The Bull and Bear Arguments for BNB Value

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Trading market Cap





Binance has transformed BNB into more than just a token—it’s a symbol of the exchange’s global supremacy. Every quarter, Binance buys and burns a portion of BNB—20% of profits, to be precise—thereby reducing its circulation and enhancing scarcity.

Users also enjoy the lowest fees available in the industry and a simple, user-friendly interface. On the security front, the SAFU fund safeguards against breaches, bolstering Binance’s reputation for resilience.

However, challenges are emerging regarding regulatory compliance. Despite its scale, Binance has not established a presence in significant U.S. markets such as New York and Alaska due to regulatory constraints.

Additionally, formidable competitors are gaining ground, including Coinbase, which operates on the US stock crypto market, and Kraken, poised to go public soon.

Conclusion for Binance Smart Chain

Asking if BNB has a future is akin to questioning whether Binance will remain relevant—and thus far, the answer leans strongly toward yes.

While detractors continue to highlight its centralized framework, BNB persists as one of the most functional and extensively utilized utility tokens in the trading market.

The key question now is whether this dominance will last as Coinbase, Kraken, and others attempt to erode Binance’s advantage.

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Key Insights

  • Binance Smart Chain is a leader in the cryptocurrency realm, but how long will this status last?
  • A recent report from 99Bitcoins forecasts that BNB might reach $1,275 by year’s end.

The post Binance Smart Chain: The Most Dangerous Chain in Crypto? first appeared on 99Bitcoins.

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