Anticipated 360% Hike in BNB Value by 2028, according to Standard Chartered
🤖 Hey there! Let's talk BNB, shall we? The cryptocurrency world has been buzzing about the predictions for BNB by the analysts at Standard Chartered. Now, here's the skinny on it.
These financial whizzes believe that by the end of 2028, BNB's price could skyrocket a whopping 360% from its current value of around $600. Swing that baby around, and you've got a projected price of a slick $2775. That's some serious crypto cash!
Jeffrey Kendrick, head honcho of digital asset research at Standard Chartered, made the bold prediction. And here's his reasoning: since last May, BNB and a lil' somethin' called an unweighted basket of bitcoin and Ethereum have traded side-by-side in terms of performance and volatility. Kendrick expects that correlation to continue.
Now, the term "unweighted basket" means the assets have the same share, regardless of their actual value. In the crypto world, there's another popular term called "weighted basket," where the share depends on the asset's price.
As of May 7, BNB sits pretty as the fifth-largest cryptocurrency, with a market cap of a whopping $88 billion. If you peep back in the clocks, you'll find that BNB set a historical high around $788 back in early December 2024.
Some people consider BNB as a benchmark asset in the crypto market. Despite falling short of bitcoin and Ethereum in market capitalization, BNB sports a deflationary nature and is like besties with Binance. According to Kendrick, it's this long-term value that makes BNB, well, valuable.
🤓 Now, let's get into the meaty stuff. BNB Chain operates on something called a "proof of staked authority" consensus model. That means only 45 validators get picked every 24 hours, based on the number of tokens they've staked. All clear?
This centralized structure and the lack of new use cases after the DeFi boom in 2021 have resulted in very low developer activity compared to blockchains like Avalanche and Ethereum. But, Kendrick says updates like Pascal and Maxwell could change that.
💡 Here's an interesting insight: BNB token is in high demand among users because of its integration with Binance, offering traders and investors discounts on trading fees. This has helped BNB Chain stay afloat in a sea of competition, like Solana.
Another reason BNB shines is due to its deflationary model. Because Binance uses token burning mechanisms to reduce the overall supply, it creates a deflationary effect, which can bump up the crypto's price.
🌐 Lastly, some exciting crypto news: in early May, former Binance CEO Changpeng Zhao paid a visit to Kyrgyzstan, where he advised the government to include bitcoin and BNB as the first cryptocurrencies in a national crypto reserve.
There you go! Buckle up, because it's gonna be a wild ride with BNB! Want more news and discussions about crypto? Join the RBC-Crypto forum on Telegram! 🤘
The analysts at Standard Chartered predict that BNB's price could skyrocket by 360% by the end of 2028, reaching a projected value of approximately $2775. This prediction is based on the correlation between BNB and other cryptocurrencies, such as bitcoin and Ethereum, in terms of performance and volatility.
Moreover, the BNB token is in high demand among users due to its integration with Binance, offering trading fee discounts, and its deflationary model, which reduces the overall supply through token burning mechanisms, potentially increasing the crypto's price.
