Will Binance US Opening Cause BNB Prices to Plummet?

Only Bitcoin, Ethereum, XRP, Bitcoin Cash, Litecoin and Tether will be available for trading which begs the question, why no BNB? Clearly the …

The world’s largest crypto exchange will be opening its US platform across most of the country next week. It has announced the listing of six crypto assets for trading but conspicuously missing from that list is its own Binance Coin.

Binance.US Opens Next Week

Binance stated that its US platform will be open for registration and deposits on Wednesday next week. The announcement came in a blog post yesterday but what was notable was the six initial crypto assets it has allowed.

Prepare for Launch: https://t.co/AZwoBOy3iq User Registration Opens Next Wednesday!@BinanceAmerica will open account registration & begin accepting deposits of BTC, ETH, XRP, BCH, LTC & USDT on Sept 18th, 2019, at 8am ET.

This kicks off our first phase!https://t.co/wfAREA0TYR

— Binance.US (@BinanceAmerica) September 11, 2019

Only Bitcoin, Ethereum, XRP, Bitcoin Cash, Litecoin and Tether will be available for trading which begs the question, why no BNB? Clearly the company would not have omitted its own flagship currency out of choice, so regulatory matters may have influenced the decision.

The announcement went on to state that US customers will be able to register and select their verification level which on September 18. Stringent KYC proceedings will need to be adhered to if users want to cash anything out of the exchange which makes it effectively a digital bank. Binance.US will require users to upload a valid government ID and their Social Security numbers in order to activate their withdrawal limits.

In a blog post last month Binance said that there could be as many as 24 additional crypto assets available in the next phases of the US rollout. There was no time frame given and it added that all would be subject to its Digital Asset Risk Assessment Framework. The more likely scenario is that US regulators will be deciding what tokens the exchange can list and its own one doesn’t appear to be among them.

BNB Falls Out Of Favor

BNB has been one of the crypto darlings of 2019, outperforming nearly all of those around it including the king of crypto itself. From the beginning of the year BNB surged over 500 percent to a giddy height just below $40.

Since then however it has dumped over 50%, crashing back down to $20 where it currently trades. Some are not fearful of the FUD and see this as a good entry point.

$BNB at $20 is a good longterm buy.

I think $100 is well in reach next time we see a large bull cycle….

Temporary fud means nothing and @binance will launch a US solution.

— TheCryptoCactus (@TheCryptoCactus) September 11, 2019

Whereas others predict further pain for BNB as the selloff accelerates. With the closure of US based accounts on Binance main imminent, there is all likelihood that Americans will begin dumping BNB in preparation for a move to Binance.US – where it is not listed.

BNB update: REKT 🤷‍♀️ pic.twitter.com/RCtbum1skY

— 🍄🌲BenjaminBlunts🌲🍄 (@SmartContracter) September 12, 2019

Another factor is that many of the obscure altcoins listed on Binance are not available in other jurisdictions due to regulatory pressure making it one of the few markets for them. This of course adds to the selling pressure on altcoins in general, of which BNB is one.

Either way it looks like Americans will be stuck with a very small crypto pot as their lawmakers continue to drag their feet with regards to regulation, and the Binance Coin bears will keep selling.

Image from Shutterstock

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Breaking! Binance America to Open for Registration on Sept 18

… its initial use case to conduct an initial coin offering (ICO) and also its strong affiliation with initial exchange offerings (IEOs) on Binance Launchpad …

Binance America, the United States focused offshoot of leading cryptocurrency exchange Binance announced today that it would start accepting the registration of new users from Sept 18.

The news comes shortly after U.S based customers of the famous exchange started to express concerns that the new platform will not launch before the Sept 12 deadline which Binance had announced for geo-blocking people visiting Binance.com from the U.S.

Cryptos Listed on Binance America

Arguably, one of the things that Binance U.S customers looked forward to is a list of cryptocurrencies that they will be able to trade on the new platform especially after the exchange provide a speculative list of 30.

However, today’s announcement revealed that for a start, Binance America would only support deposits and withdrawals of the following cryptocurrencies.

  • Bitcoin (BTC)
  • Ethereum (ETH)
  • Ripple (XRP)
  • Bitcoin Cash (BCH)
  • Litecoin (LTC)
  • Tether (USDT)

Meanwhile, following the opening on Binance America on Sept 18, the exchange said users would be able to signup, complete the necessary verification, and deposit the accepted cryptocurrencies on the platform.

“Shortly after registration opens, we will provide an update detailing when trading will go live for specific pairs,” today’s announcement stated.

A sad reality for U.S customers of Binance exchange is the fact that the exchange’s native token, Binance Coin (BNB) is not listed on the new platform.

Understandably, though, the lack of regulatory clarity in the U.S regarding the status of the various kinds of cryptocurrencies may be blamed for the absence of BNB on the new exchange.

Despite the cryptocurrency making it to Binance’s list of 30 for evaluation, the token’s properties namely, its initial use case to conduct an initial coin offering (ICO) and also its strong affiliation with initial exchange offerings (IEOs) on Binance Launchpad means it may not qualify as a non-security under U.S laws.

The United States Securities and Exchanges Commission (SEC) has fined several crypto projects that failed to register their tokens as securities, and also provided a non-binding guide which appeared to back their claims that nearly all such tokens presumably including Binance Coin (BNB) are ‘securities.’

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Coinbase Initial Exchange Offering coming soon

Coinbase Initial Exchange Offering is set to launch soon along with other interesting products as per the report. Coinbase, the popular crypto …

Coinbase Initial Exchange Offering is set to launch soon along with other interesting products as per the report.

Coinbase, the popular crypto exchange based in the USA, is looking to enter the famed realm of Initial ‘Exchange Offerings’ (IEO).

Kayvon Prestani, Coinbase’s institutional sales chief, has disclosed that the company is foraying in the current hot trend of crypto and besides also actively working towards creating a ‘Security Token Offerings’ (STO) platform for its customers.

However, there has been no official confirmation from the company so far.

Coinbase Initial Exchange Offering will cash in on the trend

Currently, IEOs are offered in token sale form by various well-known exchanges including Kucoin, Binance, and Bitfinex. Coinbase is keen to join the league and offer more value to its customers.

IEO started around 2 years ago and quickly gained ground as a reliable crowdfunding method. The only difference being that in this case, the guarantee factor is provided by the exchange which verifies the viability and trust quotient of the IEO via thorough analysis of the associated whitepapers. All the research part is actually handled by the exchange on behalf of the potential investor.

Exchanges carry out these sales through issuing a native token that is specifically issued for this very purpose. This concept also aids in increasing the liquidity of the native coin on the platform itself. For example, BNB is used on Binance.

The AML and KYC related to the startup that will deal in the native token sales are also managed by the exchange. So, in a way, the exchange plays a crucial role here.

Reports suggest that Coinbase Initial Exchange Offering is only months away from launching the token sale along with a regulated securities venue announcement.

Binance Rules the IEO Realm

When it comes to IEOs, Binance is making all the right waves. Band project, the most recent token sale on Binance, was touted hugely successful considering the current crypto-times. The platform also offered a 300,000 BAND airdrop.

Initially, IEOs were offered as regular token sales by Binance but later a lottery system was introduced by the exchange to effectively cater the excessive demand. Lottery tickets are distributed as per the trading volumes and BNB balance of the investors.


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Weekly Roundup (1-7 September)

Binance, the world’s largest cryptocurrency exchange in terms of adjusted … but the Ripple management’s release of 500 million XRP in September, …

News revolving around Binance exchange has dominated this week’s cryptocurrency news. Binance, the world’s largest cryptocurrency exchange in terms of adjusted trading volume, has been in the spotlight for good and not so good reasons. The Exchange generated over $78 million in profits from their Q1 2019 revenue, and its CEO Changpeng Zhao is not about to rest on his laurels.

On August 26, the crypto exchange announced it was launching Binance Lending. This new venture is going to be the Exchange’s crypto lending arm. Through it, the business will make more revenue from the interest earned. Binance Lending kicked off its operations on August 28, and, it is at the moment allowing investors to lend ETC, USDT and BNB tokens for interest.

The annualized interest rate for a 14 day fixed maturity term stands at 15 percent for BNB, and 10 percent for USDT. Ethereum classic tokens are earning a minimum of 7 percent as interest. Before the crypto-verse could catch its breath, the crypto exchange launched Binance X, just three days following the launch of Binance Lending.

  1. What Is Binance JEX Airdrop, And How Do I Sign Up?

Binance’s new offering is part of the Exchange’s goal of boosting cryptocurrency mass adoption. Teck Chia, Binance X’s head, says that “The long-term goal of Binance X is to foster a thriving developer ecosystem that innovates on products and services that would advance the crypto ecosystem and contribute to crypto adoption.”

Binance X is going to support crypto developers to enable them to succeed in crypto project developments. The platform is going to connect developers from other Binance supported programs such as Binance Launchpad, Binance X Fellowship, and Binance Labs Incubation.

The cryptocurrency Exchange has also made a newsworthy acquisition. The other new Binance product is as a result of the cryptocurrency exchange’s purchase of JEX. JEX is a Seychelles based cryptocurrency asset trading firm that has specialized in derivatives and spot trading services. Now known as Binance JEX, this new Binance product will work independently within the vast Binance ecosystem.

Binance is keeping the JEX team intact but will manage the JEX tokens together with its Foundation. The cryptocurrency exchange plans to convert JEX tokens from their Ethereum ERC 20 format to conform to the Binance Chain standard.

Even more exciting news from the exchange is that it is launching a token airdrop worth 200 million worth to BNB holders. BNB holders with a minimum of ten tokens in their wallets could benefit from the campaign running for 12 months.

Be sure to check out the article to find out how you can benefit from the airdrop.

2. BitMEX Accuses Binance of Plagiarism?

In the good news category, BitMEX accused Binance of white paper plagiarism. BitMEX on Twitter pointed out what looks like similarities between its Bitcoin Futures platform documentation and that of the Binance’s Testnet Futures.

The tweet sarcastically congratulated Binance telling the exchange that they hoped that they had had as much fun reading their white paper as much as BitMEX had fun writing it.

CZ apologized, saying that he was ashamed over the glaring similarities between the documentations.

3. XRP: Will Community Takeover Due To Executives Dumps?

Away from exchanges, the Ripple Community is about to stage a civil war over the Ripple management’s habit of XRP dumping.

The issue has been eating away at the XRP community for a while, but the Ripple management’s release of 500 million XRP in September, blew their tops.

4. Burundi Bans Cryptocurrency Trading

The Central African state of Burundi has also made news after issuing a statement that they are banning crypto trading. This retrogressive move has come at a time when a large part of the African continent is immersing itself in digital currency trading. Urging caution, a statement from the country’s central bank read:

“Virtual currencies are traded on unregulated online platforms around the world, and their values ​​are highly volatile, resulting in speculative transactions that expose the users of these currencies to potential losses without any possibility of legal recourse.”

This ironically comes at a time when behemoths in Asia like Alibaba and HTC are diversifying their portfolio, and investing more in blockchain startups. HTC, the Taiwanese electronics giant, and Alibaba have invested in BitMark, a digital property rights startup.

5. US and China’s Digital Economy Cold War

Meanwhile, we also took a look at the emerging digital economy cold war between US and China. In its first-ever Digital Economy Report, the UN Conference on Trade and Development (UNCTAD) highlighted the dominance of the two superpowers. The UNCTAD also noted that the two nations hold 90 percent of the market capitalization value of the world’s 70 largest digital platform companies. This suggests a move from the long thought North-South divide to two competing powers. With Libra coming out of the US and national cryptocurrency from China, it certainly looks like this war is only beginning to heat up.

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Litecoin, XRP and USDC included in third phase of Binance Lending

Binance’s recent lending platform offering has not only managed to attract a fresh set of investors but also deliver a interest rate-based rewarding …

Binance’s recent lending platform offering has not only managed to attract a fresh set of investors but also deliver a interest rate-based rewarding system. While the second phase of the rollout saw the inclusion of BTC and few altcoins including ETC and ADA, the third phase of Binance Lending Products includes other leaders from the altcoin universe including BNB, ETC, LTC, XRP, USDT and USDC. According to the official post,

“Binance will launch the third phase of Binance Lending Products at 2019/09/11 6:00 AM (UTC), where 14-day fixed term lending products will be made available.”

Following the company tradition, Binance will maintain a “first-come-first-served” subscription format with an immediately interest payout after loan term matures. The post also featured a detailed chart to explain the specifics to its investors.

Source: Binance

As explained from the source, “If User A subscribes to 10 lots of BNB (14 days) Lending (total lend of 100 BNB), the interest earned at maturity date will be 0.038356 BNB * 10 = 0.38356 BNB.” Additionally, the user’s BNB balances committed into lending products will be included in each user’s daily BNB balance calculations for Binance Launchpad and other daily calculations.

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