Binance Coin (BNB) saw gains of over 13,000% in 2021, compared to Bitcoin up a modest 65%. What is BNB, why did it see such significant gains and what do we predict Binance Coin’s price to be in 2022?
BNB is the native token of Binance Exchange, the world’s largest exchange by daily volume that was co-founded by Changpeng Zhao in 2017. Binance has an estimated 30 million users, with its peak daily volume touching $76 billion in 2021.
Within Binance’s ecosystem is Binance Smart Chain (BSC), a blockchain that runs smart contract-based applications. 2021 was a big year for BSC, thanks in part to Ethereum’s slow speeds and high fees seeing many users move over to BSC. Beyond that was the success of new projects based on Pancakeswap, that were alone responsible for more transactions on BSC than the Ethereum network achieved in total throughout the whole year.
Projects like Radio Caca (RACA) and EverGrow crypto (EGC) were amongst the most purchased on Pancakeswap in 2021. As an example, EverGrow, which was launched just 3 months ago, has already accumulated 120,000 holders, and has been responsible for 1.3 million transfers on the Binance Smart Chain. This new project, which still sits at a very modest $400 million market cap, can be purchased by swapping either BNB or BUSD (Binance’s USD pegged currency) for EGC on Pancakeswap. In addition, the project has paid over $30 million of BUSD rewards to their holders since launch.
Such use cases add more and more value to Binance Coin itself, particularly when you consider than many analysts see EverGrow as the potential next 100x for 2022. Should these predictions pan out, EverGrow alone could be responsible for billions of dollars of BNB demand in 2022.
What are the price predictions for Binance Coin in 2022 – do we expect to see BNB make new highs?
With BNB currently sitting around $523, www.walletinvestor.com see potential for $997 by the end of 2022, which would be a 90% increase. Several other coin prediction websites had similar price targets ranging from $850 to well over $1000. The overall sentiment is a bullish one and we expect to see a lot from BNB, and indeed Binance itself in 2022.