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Topic: Phenomenon of BNB (Fundamental analysis BNB/USD) - page 2. (Read 510 times)
Binance coin is for sure an interesting coin, it doesn't promise use, it is already used on the biggest crypto exchange. Binance regularly burning tokens from the company's profit. Plus now they developed its own chain and focus more on a decentralization .
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Still being fascinated by BNB, I managed to cross the threshold after which I am in possession of a reflink with 20% kickback (20% commission returns to the user recommended by me) - pretty rare code because you have to lock big chunk of BNB. As I cannot post it directly here (bitcointalk rules about reflinks), please feel free to write me a PM. Just create a new account on binance using my code to enjoy lower commissions on each transaction.
Breakthrough allert.
Binance just broke resistance and was not higher since covid panic sell in March 2020.
BNB token burn is comming (2-6 days left - accouncment is close to the fifteenth day of the month preceding the end of the quarter) and in my opinion it will be higher than ever based on BTC volume on binance.
That's last token burn.
4 000 000$ worth BNB burn is my lucky guess.
Binance just broke resistance and was not higher since covid panic sell in March 2020.
BNB token burn is comming (2-6 days left - accouncment is close to the fifteenth day of the month preceding the end of the quarter) and in my opinion it will be higher than ever based on BTC volume on binance.
That's last token burn.
4 000 000$ worth BNB burn is my lucky guess.
Another gamechanger from binance.
Introducing the Binance Card: Shop and Pay With Crypto Anywhere in the World
1-undervalued based on FA (now even more with current historic high volume and dump to $2 bil marketcap)
2-better passive income than any other staking coin
3-and now mass adoption leader
I know i sound like i was paid to say that but i'm not. IU'm just so in love with this exchange and how it change crypto space.
Introducing the Binance Card: Shop and Pay With Crypto Anywhere in the World
1-undervalued based on FA (now even more with current historic high volume and dump to $2 bil marketcap)
2-better passive income than any other staking coin
3-and now mass adoption leader
I know i sound like i was paid to say that but i'm not. IU'm just so in love with this exchange and how it change crypto space.
P/E is calculated based on full year performance. 2019 is behind us together with 10th BNB burn so i think it is good time to recalculate OP:
Annual burn - 114 938 000$ that gives us 574 690 000$ annual profit. (it is also worth to notice that it is fourth consecutive quarter with growing profit even though 09-12 was quite boring (bitcoin was locked in 7-10k consolidation))
That gives us P/E = 2 663 898 813/574 690 000 = 4,63
And estimated value if P/E was equal to S&P500 average (22) 12 643 180 000 (+375% potential grow)
It is also worth to notice that in 2018 binance annual profit was equal to 447 mil $ (so we have 28,5% annual performance increase)
Annual burn - 114 938 000$ that gives us 574 690 000$ annual profit. (it is also worth to notice that it is fourth consecutive quarter with growing profit even though 09-12 was quite boring (bitcoin was locked in 7-10k consolidation))
That gives us P/E = 2 663 898 813/574 690 000 = 4,63
And estimated value if P/E was equal to S&P500 average (22) 12 643 180 000 (+375% potential grow)
It is also worth to notice that in 2018 binance annual profit was equal to 447 mil $ (so we have 28,5% annual performance increase)
I think that was cool explanation about Binance coin (BNB) profitability. despite that more and more accusation that was throwing against the well known cryptocurrency exchange but still look at how binance was thriving comparing to its competitor. BTW its just my opinion since im also using some of the binance competitor so no hard feelings. i'm on the neutral side.
More and more accusations? I didn't hear about even a single accusation against Binance. In my opinion, based on 2 year experience on binance and more than couple milions $ trading volume (i'm day trader) Binance is the most trustful and professional crypto exchange.
I think that was cool explanation about Binance coin (BNB) profitability. despite that more and more accusation that was throwing against the well known cryptocurrency exchange but still look at how binance was thriving comparing to its competitor. BTW its just my opinion since im also using some of the binance competitor so no hard feelings. i'm on the neutral side.
Lets continue the analysis of BNB fundamentals. We know that it is undervalued based on P/E indicator. That makes it good long term investment product. Now i'll try to show you that it is the best coin to invest in if you are looking for POS coins to set masternode.
Holding BNB allows you to take part in various activities (launchpads, vote for community coin etc.)
I have dumped to BTC every token right after airdrop.
JEX ~ 5$
BNB ~ 17$
NKN ~ 16$
KAVA ~ 20$
IOST ~ 0.5$
CTXC ~ 22$
QTUM ~ 0,6$
TROY ~ 400$ - 200$ investment= 200$ profit
VITE ~ 19$
SUM = 300$ ~ 20 BNB - That's a return from holding 200 BNB for 2 months. 10% return in 2 months - 60% annually
So why is BNB the best coin to invest in while looking for coins that bring passive income (masternode coins)?
1- BNB is fundamentally undervalued
2- BNB is top 10 CMC - big coin emitted by market leader
3- BNB has one of the largest annual ROI from top 100 CMC (DASH 6%, NRG 57%, Nuls 10%)
4- min investment to take part in all activities is 50 BNB -750$ (DASH 49 000$, NRG - 19 000$, Nuls 5600$)
5- Most MN coins supply grow with every block minted. If you are stacking those coins you are increasing your portfolio but total supply is growing too. No one is taking this into consideration. People see 10% annual return but they dont see 6% inflation what sum to (in simplified terms 10%-6%=4%) 4% annual return. BNB's supply is decreased every quarter with coin burn.
6- To cash your income you need to dump coin that you are stacking (that dumps price). If you are stacking BNB you are not dumping BNB to cash your income. You are dumping bunch of shitcoins.
Holding BNB allows you to take part in various activities (launchpads, vote for community coin etc.)
I have dumped to BTC every token right after airdrop.
JEX ~ 5$
BNB ~ 17$
NKN ~ 16$
KAVA ~ 20$
IOST ~ 0.5$
CTXC ~ 22$
QTUM ~ 0,6$
TROY ~ 400$ - 200$ investment= 200$ profit
VITE ~ 19$
SUM = 300$ ~ 20 BNB - That's a return from holding 200 BNB for 2 months. 10% return in 2 months - 60% annually
So why is BNB the best coin to invest in while looking for coins that bring passive income (masternode coins)?
1- BNB is fundamentally undervalued
2- BNB is top 10 CMC - big coin emitted by market leader
3- BNB has one of the largest annual ROI from top 100 CMC (DASH 6%, NRG 57%, Nuls 10%)
4- min investment to take part in all activities is 50 BNB -750$ (DASH 49 000$, NRG - 19 000$, Nuls 5600$)
5- Most MN coins supply grow with every block minted. If you are stacking those coins you are increasing your portfolio but total supply is growing too. No one is taking this into consideration. People see 10% annual return but they dont see 6% inflation what sum to (in simplified terms 10%-6%=4%) 4% annual return. BNB's supply is decreased every quarter with coin burn.
6- To cash your income you need to dump coin that you are stacking (that dumps price). If you are stacking BNB you are not dumping BNB to cash your income. You are dumping bunch of shitcoins.
BNB is one of the best to have some of it into your portfolio, this is something to be taking into consideration for long term investors.
I said it once in some telegram group i'm in that this coin is gonna be an easy $50 - $100 coin sooner or later (this was when it was $8 coin & then reached the $35+).
Binance is taking the big chunk of the cryto market exchange business, sooner the fiat to crypto niche & who the hell knows what's next (may be some crypto card too).
Binance is taking this exchange evolution into the next level & trying it' best to legalize it even in the hardest financial law countries (like the USA).
Your fundamental analysis is just so perfect & does make 100% sense that this BNB coin is one of the best that any smart investor should have it n his long term investment plan.
I said it once in some telegram group i'm in that this coin is gonna be an easy $50 - $100 coin sooner or later (this was when it was $8 coin & then reached the $35+).
Binance is taking the big chunk of the cryto market exchange business, sooner the fiat to crypto niche & who the hell knows what's next (may be some crypto card too).
Binance is taking this exchange evolution into the next level & trying it' best to legalize it even in the hardest financial law countries (like the USA).
Your fundamental analysis is just so perfect & does make 100% sense that this BNB coin is one of the best that any smart investor should have it n his long term investment plan.
Cryptocurrencies market is the hardest to estimate. There is no fundamental analysis here - such indicators P / E (price earnings ratio) P/BV (price to book value), because everything is at the start-up stage, the functioning of which we will only see in the distant future if the team won't scam us, if no one will develop similar project faster, if no one will invent better product that will make our coin useless, if ... if ... The market is blindly trying to include project prospects, risk, market condition and various of other indicators in the price. Most often market is so confused that it blindly accepts any existing price, because if ... if ... if ... if will happened than this token will take over the world and will be worth even 100x more. But there are more than 10,000 such tokens and only 1 will rule the world. So a moment later, there is a dump and another group of investors becomes bagholders.
Phenomenon of binance and BNB coin:
Binance is currently worth $ 2.4 billion (15.6 $ per token). Let's try to do the fundamental analysis of BNB just like with regular share on stock market (someone ever did that with cryptocurrencies? Is there any other cryptocurrency for which such analysis is possible to do with actual data not prediction about the future performance if.... if.... if...? - the phenomenon of binance - the first coin for which it can be done!)
The volume on binance reaches $ 2 billion a day (spot/margin/futures). This is the value I believe in (it is not inflated by fake trades such as on bitferox). This means that binance's daily income is equal to 0.075% of $ 4 billion (2 billion in transactions means that it was bought for 2 billion and sold for 2 billion and the commission was paid by both sides) = $ 3 million / day = $ 1.1 billion / year. How much can they spend on servers, employees and marketing? I have no idea. Those data are not available.
I estimate $ 300 million? This gives 800 million gross profit. $ 600 million net profit after tax (first estmiate - probably with a big mistake).
This gives us P/E ($ 2.4 billion/$ 600 milion = 4)
This is the first estimation and I must admit that it is amateurish. So I found a slightly more accurate way to evaluate the binance earnings:
The average of the last 8 burns is $ 25,7 million. That is $ 103 million burned annually. What % of profit is that? Whitepaper is silent. I asked the admin of the Polish telegram ...
He replied that until recently this information was in the whitepaper, but it was removed and the value I am asking for is 20%.
So we are saying about $ 515 million of pure profit.
This gives us P/E ($ 2.4 billion/$ 515 milion = 4,66)
The average P / E for nasdaq companies (probably the best comparison, because they are the most popular technology companies) is 20! This means that if BNB were listed on nasdaq, its price should increase 4,3 times. https://www.nasdaq.com/symbol/ndaq/pe-ratio
The average P / E for S & P500 companies is 22. https://www.multpl.com/s-p-500-pe-ratio/table/by-year
This means that BNB FUNDAMENTALLY is undervalued.
Add to this that nasdaq does not offer:
-25% discount on the company's services for share holders (commission reduction)
- special additional offers for share holders (launchpad/vote for community coins and others acticvities that provides passive income)
-the promised purchase and destruction of 50% of all shares (200 million were created - 100 million were initially promised to be burned. Although there is a dividend, but the average for nasdaq is 1.1% , and binance buys annually for around 3%.
-binance coin is also a blockchain system with more than 80 projects
link
Just remember that BNB are not binance shares, but coin. In addition P/E is only one indicator that i based my anylysis on
I'm not saying to take BNB blindly. But it's definitely worth looking for technical long-term entries, because we are fundamentally at 1/4 of the price you pay on nasdaq for companies with similar profits.
Phenomenon of binance and BNB coin:
Binance is currently worth $ 2.4 billion (15.6 $ per token). Let's try to do the fundamental analysis of BNB just like with regular share on stock market (someone ever did that with cryptocurrencies? Is there any other cryptocurrency for which such analysis is possible to do with actual data not prediction about the future performance if.... if.... if...? - the phenomenon of binance - the first coin for which it can be done!)
The volume on binance reaches $ 2 billion a day (spot/margin/futures). This is the value I believe in (it is not inflated by fake trades such as on bitferox). This means that binance's daily income is equal to 0.075% of $ 4 billion (2 billion in transactions means that it was bought for 2 billion and sold for 2 billion and the commission was paid by both sides) = $ 3 million / day = $ 1.1 billion / year. How much can they spend on servers, employees and marketing? I have no idea. Those data are not available.
I estimate $ 300 million? This gives 800 million gross profit. $ 600 million net profit after tax (first estmiate - probably with a big mistake).
This gives us P/E ($ 2.4 billion/$ 600 milion = 4)
This is the first estimation and I must admit that it is amateurish. So I found a slightly more accurate way to evaluate the binance earnings:
The average of the last 8 burns is $ 25,7 million. That is $ 103 million burned annually. What % of profit is that? Whitepaper is silent. I asked the admin of the Polish telegram ...
He replied that until recently this information was in the whitepaper, but it was removed and the value I am asking for is 20%.
So we are saying about $ 515 million of pure profit.
This gives us P/E ($ 2.4 billion/$ 515 milion = 4,66)
The average P / E for nasdaq companies (probably the best comparison, because they are the most popular technology companies) is 20! This means that if BNB were listed on nasdaq, its price should increase 4,3 times. https://www.nasdaq.com/symbol/ndaq/pe-ratio
The average P / E for S & P500 companies is 22. https://www.multpl.com/s-p-500-pe-ratio/table/by-year
This means that BNB FUNDAMENTALLY is undervalued.
Add to this that nasdaq does not offer:
-25% discount on the company's services for share holders (commission reduction)
- special additional offers for share holders (launchpad/vote for community coins and others acticvities that provides passive income)
-the promised purchase and destruction of 50% of all shares (200 million were created - 100 million were initially promised to be burned. Although there is a dividend, but the average for nasdaq is 1.1% , and binance buys annually for around 3%.
-binance coin is also a blockchain system with more than 80 projects
link
Just remember that BNB are not binance shares, but coin. In addition P/E is only one indicator that i based my anylysis on
I'm not saying to take BNB blindly. But it's definitely worth looking for technical long-term entries, because we are fundamentally at 1/4 of the price you pay on nasdaq for companies with similar profits.
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