By Frederick Munawa
The bank's analysis states that $BNB it is traded as a "non-weighted index" for Bitcoin and Ethereum "in terms of returns and volatility."
Standard Chartered expects BNB to reach $2800 within four years
Standard Chartered Bank, the $800 billion financial institution based in London, England, released a research report on Tuesday forecasting that BNB, the cryptocurrency supporting the BNB ecosystem, will gradually increase in value over the next three years, reaching around $2775 by the end of 2028.
Despite its relative obscurity, BNB is currently the fourth largest cryptocurrency by market capitalization, excluding stablecoins. It first appeared through an initial coin offering (ICO) in 2017 as part of the launch of the Binance platform. Binance is now the largest cryptocurrency exchange in the world, and its market value has ballooned to $84.5 billion according to Coinmarketcap. Despite significant centralization, high fees, limited use cases, and a small developer base (less than 50 currently), the token remains significant due to its relationship with the Binance platform.
The research division of Standard Chartered describes the BNB chain as a "centralized version of Ethereum backed by Binance," and an "old-fashioned" platform stuck in 2021, primarily used by decentralized trading platforms, lending protocols, and liquidity investors. However, since 2021, the bank states that BNB is traded as a non-weighted index for Bitcoin and Ether, and is on track to achieve "steady returns" reaching $2775 by the end of 2028.
Standard Chartered Bank expects the price of BNB to reach $2800 by 2028
(BNB Forecasts / Standard Chartered Research)
BNB is an unusual coin. Although it is the fourth largest volatile digital currency (after Bitcoin, Ethereum, and Ripple), it will not be at the top of most people's concerns, as explained by Jeffrey Kendrick, head of digital asset research at Standard Chartered. He added: "Nonetheless, its traditional nature, and the fact that BNB is traded almost identically to a non-weighted basket of Bitcoin and Ethereum (in terms of returns and volatility), makes it extremely interesting as a benchmark for digital assets more broadly, in my view."
