I cleared out my BNB today, with the clearing price being around 616 U.
BNB has always been my second largest position, with an overall cost of around 250. Over the past two years, along with the Launch Pool, the overall return has been pretty good.
There are mainly three reasons for clearing out:
1. Although Binance is still the largest CEX, over the past two years, the gap with other exchanges has been narrowing. From originally over 50% market share, it has dropped to 30%.
2. BNB has a market value of about 100 billion. If 10% of BNB (10 billion) participates in the Launch Pool, and if each time it needs to maintain a 0.5% yield, then the project side needs to put out 50 million U worth of tokens for the Launch Pool.
If other airdrops are included, the initial circulation needs to be around 100 million U. If there is 10% initial circulation of tokens, the total market value is around 1 billion U; if there is 20% initial circulation, the total market value is about 500 million U.
After all, truly outstanding projects are very scarce.
For most projects that are not that outstanding, a market value of 500 to 1 billion is already the ceiling, with limited upward space. Especially if there is a lack of profit-making effect.
Who will take over?
3. Other exchanges have started to behave ethically and have begun to use BTC for new listings.
