- Bitcoin and ether may have had amazing gains for 2021, but one of the other cryptocurrencies easily outperformed them.
- Binance Coin has gained 1,344% this year, far outperforming returns of 73% for Bitcoin and 455% for Ether.
- Arcane Research said that the coin’s rise can be attributed in part to the growth of the Binance smart-chain ecosystem.
- Sign up here for our daily newsletter, 10 Things Before the Opening Bell
Bitcoin and ether may have posted amazing gains for 2021 but one coin beat them handily: binance.
The third largest cryptocurrency by market capitalization has gained 1,344% this year, significantly outperforming Bitcoin at 73% and ether at 455%.
The emergence of the coin, the BNB strip, can be attributed in part to the explosive growth of the Binance Smart Chain ecosystem, according to a recent report by Arcane Research.
BSC, which has taken some market share from Ethereum, enables users to build their decentralized applications and digital assets on a single blockchain, among other things.
BNB was issued by Binance Holdings, the world’s largest crypto exchange, and is the original coin of Binance’s Binance Chain. Initially, the coin was based on the Ethereum network.
BNB is trading at around $522 and takes up nearly 4% of the entire crypto market with a market capitalization of $87 billion, according to CoinMarketCap.
Elsewhere in the market, altcoins have been gaining momentum throughout the year as large numbers of retail investors have piled in, looking to reap huge gains.
“During the first five months of the year, bitcoin experienced a continuous loss of dominance, as traders traded altcoins while bitcoin surged above previous highs,” the research firm said.
This year also saw the emergence of several meme tokens, including the shiba inu, a Dogecoin spinoff whose price has skyrocketed 44,540,000% this year.
“These months have seen a mixture of ‘dumb’ pumps in meme coins and the power of ethereum DeFi,” the company added.