Why I prefer to invest in BNB over BTC and ETH
The world of cryptocurrencies is full of opportunities, but determining the best ones to invest in requires a deep understanding of the technological and financial environment surrounding each coin. Although Bitcoin (BTC) and Ethereum (ETH) are the market leaders, Binance Coin (BNB) provides me with reasons to make it the best option for my investment, especially as its popularity and usage grows.
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1. Exceptional growth in a short period
When it comes to ROI, BNB has outperformed significantly since its launch in 2017. It started at just $0.10 and is now worth over $600, which translates to a return of over 623,000% in just seven years. In comparison:
BTC: 39x growth since 2017.
ETH: Grows about 17x over the same period.
BNB: It outperformed both due to its increased demand and diverse uses.
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2. Currencies backed by real interest
While BTC is a store of value and ETH is an infrastructure for running smart applications, BNB goes beyond that and is a core component of the Binance ecosystem. Uses of BNB include:
Reduced Trading Fees: Binance users get huge discounts when paying with BNB.
Powering Binance Smart Chain: BNB enables transactions to run on this network, which has become one of the most widely used in decentralized finance (DeFi) and smart contract applications.
Rewards and Investment: Investors can use BNB for services such as staking or yield farming.
Coin Burning: Binance burns a certain amount of BNB periodically to reduce the supply and increase its value.
This connection between BNB and the Binance ecosystem gives it functional value, which reduces it from being a mere speculative coin.
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3. Responding to expansion challenges
One of the problems that Ethereum faced was its high fees and slow transaction speed, which annoyed users and developers alike. In contrast, Binance Smart Chain provides a more efficient solution due to its low cost and high speed. BTC, on the other hand, is considered a traditional tool, and does not support smart or decentralized applications.
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4. Broad institutional and public support
As a member of the Binance platform, BNB enjoys strong support from both institutional and retail investors. Additionally, its association with one of the most stable and influential trading platforms is a key factor in ensuring its adoption and future growth.
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5. Less volatility and higher growth
Although all cryptocurrencies are volatile by nature, BNB has proven to be relatively stable compared to BTC and ETH over the past few years. This stability is due to its value being tied to the growth of the Binance ecosystem. BNB’s relatively lower market cap also gives it more room to grow compared to BTC and ETH.
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6. Alignment with future trends
BNB takes advantage of new trends in the cryptocurrency world, such as:
Decentralized Finance (DeFi) Growth: Binance Smart Chain is a leading platform for this sector.
Non-Fungible Tokens (NFTs): BNB is a popular choice thanks to its low fees and fast transaction execution.
Binance Global Expansion: With every development on the Binance platform, the utility and value of BNB increases.
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Conclusion: Why BNB?
While BTC and ETH are considered the basics of the crypto market, BNB offers a unique combination of practicality, high growth potential, and integration with a robust technical ecosystem. This makes it the perfect choice for investors looking to make tangible gains in the crypto market.
For me, investing in BNB is investing in Binance, the largest cryptocurrency ecosystem, which combines cutting-edge technology with constant demand.