While the year 2021 has turned out to be full of growth and adoption for the overall cryptocurrency industry, it has gotten even better for BNB. Binance Coin (BNB) is the native coin Binance, the largest cryptocurrency exchange in the world in terms of market capitalization.
The statistics run and posted by some of the major cryptocurrency reporting firms suggest that Binance Coin (BNB) has gained more than 900% rally since the beginning of 2021.
The majority of the analysts attribute the rise in the adoption rate and rally of Binance Coin (BNB) to be the outcome of Ethereum’s problem. Since the beginning of 2021, Ethereum (ETH) blockchain has been facing many issues with respect to its services and functionalities.
Out of all the hiccups, the major hiccup that Ethereum (ETH) currently faces is the congestion on its blockchain. Due to high volumes of transactions flowing through the Ethereum (ETH) network, the scalability of the protocol is being tested to its max.
Unfortunately, Ethereum (ETH) has not been able to deal with this problem in an efficient matter. That is the major reason why the transaction (gas) fees on Ethereum (ETH) protocols are currently hitting all-time highs.
Since the end of 2020, Ethereum (ETH) is making all the efforts to introduce a solution to this problem. As claimed by Ethereum (ETH), the Eth2.0 protocol being developed by Ethereum (ETH) developers will solve all problems being faced by the protocol.
However, the Eth2.0 protocol is still in its testing/pilot phase and is expected to launch either by the end of 2021 or early 2022.
Until then, all Ethereum protocol can do is sit and watch as more investors migrate from its network over to Binance Smart Chain (BSC). While Ethereum (ETH) continues to struggle and make a comeback, Binance Smart Chain (BSC) has proven to be one of the most reliable alternatives.
The users going for the Binance Smart Chain (BSC) solution report that they enjoy making transactions at extremely low fees. The transactions through Binance Smart Chain (BSC) are also processed instantly, which gives BSC another upper hand over Ethereum (ETH) protocol.
For several months, the Binance Smart Chain (BSC) has continued providing users in the decentralized finance (DeFi) exactly what they would have expected from Ethereum (ETH).
Despite being the second-largest cryptocurrency and blockchain network in the entire crypto-verse, Ethereum (ETH) is struggling to recover from the loss of losing its users due to ongoing problems.
At the beginning of 2021, the market capitalization of Binance Coin (BNB) was just around $5.37 billion. At the time of writing, the market capitalization of Binance Coin (BNB) is $85.53 billion, which is a significant increase within 4 months.