The long short story of binance, first anniversary ( an is just begining ) !
Binance is a new trading platform that was launched in July 2017. It is already one of the 5 largest Cryptocurrency trading platforms worldwide.
On Binance, you can not buy directly with your Euros-although it’s possible soon- (or Dollars- but offers the USDT or the TrueUSD). You can deposit Bitcoin or any other Cryptocurrency available on Binance and then exchange it for other currencies. This is a new exchange that has quickly made its way and who know seduce many users, having followed its evolution as users I will make a simple assessment.
Back to the beginning in July 2017, Binance launched its Ico which runs from July 14, 2017 to July 27, 2017. The starting price was 0.115 USD, it is today, 1 years after the date of project design, quoted at 15 USD. This represents more than 130 * the initial price offered at the ICO. How does an ICO such this performance despite the fall since early January?
To understand we will study this infographic proposed by Binance analyzing the period from November 15 to December 14 2017.
This infographic perfectly summarizes the qualities of Binance, simple in the sense of sophistication as Leonardo da Vinci said “simplicity is supreme sophistication.”
• The first column tells us that this is the fifth month of activity of the platform, that it is in the top 3 of exchanges on coinmarketcap, that the volume of daily trade is $ 2.1 trillion. Finally he indicates that their BNB has huge growth. This column tells us already that the rise of the platform is done quickly, in 5 months already top 3 of the exchanges with a volume of transactions of 2.1 billion per day. It’s impressive !
• On the second column we learn that the number of users is increasing, mainly with Americans. The mobile application, PC and web work and are in constant improvement! The platform is growing at the level of registrations, it seduces an American public who has yet many platforms at its disposal.
• The third column highlights Binance’s many performances such as an Ico organized and finished in their platform in less than 2 minutes. The platform has listing 22 new crypto-currencies and supports more than 190 trading peers. Finally, the platform does not forget to put forward its community with the monthly votes for the community coin of the month. Performance and good communication, surely two keys to this surprising platform.
• Finally, the last column is made specifically for the binance community. Binance offers gifts valued at $ 830,000 while reminding the amount distributed with its sponsorship system.
In conclusion, this type of report sums up all the finesse of Binance; many performances, an winning community. We can see too a job from the technical point of view with the listings of coin or the Ico and in other hand, in marketing point of view, with community.
The perfect strategy of Binance.
Now let’s go back in detail to the strategy of the platform starting with the BNB. The BNB is an ERC-20 token, it gives its holders more and more benefits. Owned 500 BNB offers for example a double premium of sponsorship, the platform also offers airdrops of crypto to the BNB holder, benefits like in their organised ICO or simply by saving expenses with the trades (commission reductions in Binance if the user uses the BNB). In addition, the platform announces many partnerships and communicates a lot with its community.
Establishing itself as a platform of reference after 1 year of existence ! We will see what has been doing for become one of the top echange in world of cryptocurrencies and one of the more profitable entreprise in the world.
Binance effect.
Binance’s listing of the Golem token. The GNT then moved from a pre-Binance listing price of just under $ 0.55 to a high of $ 0.71 in the hours that followed. The price then stabilizes at around $ 0.60.
PIVX, IOST, Steem and INS are all corner examples that have undergone similar effects. And while the effect can generally be seen on other large stock exchanges such as Okex, there are studies that show that Binance’s impact on the price is much more pronounced. Indeed with the efficient work and the volumes exchanged on Binance a cryptocurrency associated with the platform directly benefits from its reputation. Which leads almost systematically a consequent but often volatile increase.
Moreover for some months the BNB has become a token more stable than other altcoins, enjoying the reputation of Binance. During the falls it remains relatively stable.
Finally Changpeng Zhao, better known under these initials CZ, denounces many projects wishing to use his image for dishonest purposes, it is the bad side of the binance effect of many projects wants working with the platform but some go as far as ‘to lie’ in order to raise funds for more or less serious projects but in any case far from being sincere.
Other projects, on the contrary, integrate the BNB into their system without even mentioning it to Binance, who finds allies without even having to look for them. “No association in any way, and only just found out now. But thanks for supporting BNB, a tweet is definitely in order.” CZ, twitter.
All these strategies would surely not have emerged without an effective boss with a very innovative idea of what could be a exchange.
An innovative startup with an effective boss.
Binance is followed by many observers from the cryptos world, thanks to the work of its 200 employees and Changpeng Zhao.
“Binance was started less than a year ago. Deutsche bank? 148 years ago, even before my grandfather was born. Cryptocurrency will soon take over the finance industry. It will not take too long. “ / “A cryptocurrency startup with 200 employees (binance) beat out a giant banking with 100,000 employees (deutsche).” Joseph Yung, twitter.
CZ is a skilful strategist as shown by the new account in Malta which will open the possibility of trading in euros.
“Changpeng Zhao, the CEO and founder of Binance, revealed the company in Malta, in an exclusive interview with Cointelegraph Wednesday, June 6th. Binance is currently the world’s largest crypto exchange with $ 1.47 in trade volume, according to Coinmarketcap data. The move will have a greater impact on its plans to offer fiat-to-crypto deposits and withdrawals on its platform, a feature that would further improve the exchange of liquidity and facilitate new investors entering the space with fiat purchases. Zhao, better known as CZ, describes the new bank account as a “very significant” development since the first time it was relocating its headquarters to the island. Malta is a fast-growing, secure and transparent crypto regulatory climate. “
Since its creation, Binance has only expanded, foiling the pitfalls and security flaws that are often inherent to trading places. With an exchange platform in the top 3 world and the BNB in 16 place on coinmarkecap CZ can it blow the first candle without fear?
First of all, the cryptocurrency market has been falling since the beginning of 2018. For example, the record of 2.1 trillion volumes in 24 hours is far from the current 1.3 trillion volumes. Moreover, many decentralized echange ( dex ), Swicheo or Idex for example will soon offer cheaper fees with the decentralization as a bonus and the necessary security with this type of digital value. Finally, by opening the way to trade in euros the platform will have to apply stricter registration conditions on its platform closing at the same time its platform to all those who have not carried out the process of KYC.
How does Binance intend to remain competitive in the face of new constraints such as the overall bear market or decentralized trading platforms?
Binance with its BNB token did not really experience the fall like bitcoin or xrp, their token is worth more than $ 15 with a record $ 25.18 at the peak of altcoins January. Binance is therefore only impacted by the decline in volumes which is also widespread and much worse on other platforms. Binance takes good care of its community and encourages these users to stay on its platform thanks to the reduced commissions and its robust system and its daily updates.
As for the decentralized platforms Binance to announce wanting to open its own decentralized platform and thinks that the decentralized and centralized platforms will coexist one day or another, as reports Cointelegraphe. “Binance, the largest cryptocurrency exchange by trading volume, announced that it is officially developing a new market share, according to a March 13 statement.
Binance’s vision that “centralized and decentralized exchanges will co-exist in the near future, complementing each other” and will be used to develop the Binance Chain, which will be used for the transfer and trading of Blockchain assets. The move will also push the cryptocurrency exchange towards transforming a company into a community. “
Noted however that at the time of the article Binance was number 1 trading trading volumes. It is now ironed behind Okex, last serious competitor as master of cryptocurrency exchange.
To conclude in front of all these dangers Binance does not miss support and benefit from a team with very high added value. Moreover, with the current mutation of the world of crypto-currencies regarding the regulation Binance will soon have to leave aside the huge amount of anonymous accounts, which will give it even more credibility but which should however reduce the number of users and therefore consequently the trading volume on the platform. The BNB still seems in a good position to know a profitable year, if Binance achieve these objectives and overcome their challenges.
