BNB burn 15th | Binance Coin News | Binance coin BNB 100X

Record $600M BNB burn suggests Binance made
$750M in profit in Q1 Binance burned $600 million worth of BNB in
Q1 2021, which means Binance possibly made over $750 million in profit.Binance Coin (BNB)
saw its 15th burn to date on Friday. According to on-chain data, Binance burned
nearly $600 million worth of BNB tokens. Historically, Binance has burned around 20%
of the exchange’s profits. But in the last burn, Binance burned much
more than 20%, and the exact percentage of the burn remains uncertain. Imagine burning half a billion dollars, wait,
don’t imagine. It’s real. #BNB — CZ Binance (@cz_binance) April 16, 2021
BNB fundamentals keep improving Sam Bankman-Fried, CEO of FTX — one of the
top cryptocurrency futures exchanges alongside Binance — estimated that Binance possibly
generated $1 billion in revenue in the first quarter of this year. By contrast, the total lifetime profits of
Coinbase — which was listed on Nasdaq this week — are estimated to be somewhere between
$780 million and $1.3 billion. Bankman-Fried, commonly known as SBF, said: “So, TL;DR, with a factor of ~1.5 or so
uncertainty: Binance, Q1 2021: a) $1B rev, $750m profit –> $4B rev, $3B profit run-rate
b) Blended average fee rate ~0.016% on trades c) They’re making it really clear that burn
only goes until 100m tokens, but 60% of rev until then.” Although Binance burned 20% of the exchange’s
profit in the past, it is possible that Binance burned 70%–80% of the profit in its latest

Considering this trend, Bankman-Fried said
that the $600-million burn could equate to around $750 million in profit. He added:“Based on the original specs, BNB
was going to burn 20% of profit. Based on this update, it’s now unclear what
they’ll burn, but maybe something like: 80% of profit (up to 100m tokens, and nothing
after that. Binance burned $600m of BNB for Q1. That would roughly imply $750m of profit. If we assume $1B of revenue, given their $6T
of volume in Q1, that implies an average fee rate of 0.016% or so.” Since March 27, the price of BNB has rallied
180% from $233 to as high as $640.

The rally closed the gap between BNB and Ether
(ETH), with BNB now comprising over a third of Ether’s market capitalization. The strong uptrend of BNB was influenced by
the strong performance of Binance and its derivatives exchange, but also the upward
trajectory of Binance Smart Chain. In recent months, Binance Smart Chain has
seen a significant increase in daily transaction volume. According to BSCScan, the blockchain explorer
for Binance Smart Chain, the blockchain network saw the number of daily transactions rise
from around 380,000 in late January to over 4.7 million as of Friday.Since BNB is the
main token used on the Binance Smart Chain and it is actively used on platforms like
PancakeSwap as a means to stake in various pools, the demand for BNB has continuously

Binance Smart Chain’s momentum continues
According to CoinGecko, BNB had the best performance to date, with a 710% gain in the first quarter.Analysts
at CoinGecko attributed this upsurge to Binance Smart Chain emerging as an alternative to
Ethereum due to the high gas fees on the Ethereum network. The analysts said: “Ethereum-Killer tokens outperformed both
$BTC and $ETH Airplane departure $BNB had the best performance (+710% gain), followed
by $ADA (+555%) and $DOT (+294%) This coincides with the rise of @Binance Smart Chain #BSC
as a response to high gas fee on #Ethereum.” subscribe channel
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