- BNB has built a strong foundation around Binance Smart Contracts, and that will provide traction for growth.
- Crypto-crime is an existential threat to BNB’s market performance.
Binance’s BNB looked set for an upswing today, rising by 1.7% in 24 hours to trade at $265 at the time of going to press. At that price, the crypto-asset was 4.5% higher than its price seven days ago. BNB is currently ranked third in the crypto-market capitalization with a valuation of $41 billion.
Impressive institutional trend
Binance Smart Contracts (BSC) has recently been adopted by Brave Software. The company’s BAT token will be available on BSC as wrapped BAT. The move will allow holders to take part in BSC’s DeFi ecosystem, which is fast gaining popularity as an alternative to ерфе ща Ethereum’s.
Brave’s decision is a strategy aimed at reducing the high gas costs associated with the Ethereum ecosystem. Also, Brave cited BSC’s scalability as having informed its move. The move will enable holders of BAT tokens to utilize BSC’s products such as Bakery Swap and Pancake Swap for trading.
Elsewhere, bZx has also joined Binance Smart Contracts. The margin trading platform will move its lending products, Fulcrum and Torque, to BSC, but will retain Ethereum as the primary DeFi platform. The firm reported that the move was a strategy for expanding its borrowing, margin trading, and lending capabilities.
The moves by Brave and bZx show BSC’s strengthening position in the smart contracts segment, increasing the likelihood of more institutions joining the network.
In another win for BSC, it has netted Alpha Homora. In a move to diversify its presence and increase its margins, the firm joined BSC five days ago. This will enable users to lend BNB, receive liquidity incentives, and leverage yield farms on PancakeSwap.
The move was yet another classical instance of a firm branching out from Ethereum. Such actions have lately proven popular among investors. In Alpha Homora’s case, it locked in $117.5 million in just three hours.
Alpha Homora’s move was a highly-valuable addition by BSC, considering that it is now among the top ten projects in terms of the Total Value Locked (TVL). The top lending project is Venus’ $5.11 billion, with Pancake Swap’s TVL second with $3.65 billion. Moves by firms towards BSC’s ecosystem will boost its demand and help stimulate price upswings.
Insecurity around the Decentralized Finance (DeFi) segment continues to raise concerns. Last week, TurtleDex, a DeFi storage built on the Binance Smart Chain (BSC), was the subject of a scam that led to losses amounting to $2.4 million.
The affected BSC exchanges included Pancake Swap and Ape Swap. The heist is a setback for TurtleDex, which is hardly a week old, having been launched on March 15th. It was hyped as being capable of helping users secure their data and files online. The loss is, therefore, an antithesis to its original selling point and a derision to BSC, which is also less than a year old.
In a move to reign in fraudulent activities involving cryptocurrencies, the Texas securities commissioner, Travis J. Iles, has initiated emergency desist orders against three platforms. The commissioner says that the platforms, one of which goes by the name “Binance Assets,” have been duping investors. The other sites cited include Fxsmart-robots, and Digitaly Invest, all of which are unregistered entities. The sites are now barred from trading, beginning last week.
BNB/USD pair will find support at $263, with the first resistance at $268. Beyond this point, BNB price will require a bullish momentum to drive it up. Further bullish action will propel the crypto-asset upwards to meet the second resistance level at $273.