Cryptocurrency News

Binance Reportedly Made Around $750 Million Profit in Q1 2021

It has been reported that ever since its foundation, Binance has reportedly carried out its 15th burn. According to the reports, the latest (15th) burn was carried out by Binance on Friday, April 16, 2021. One of the on-chain data analyzing firms have revealed that so far, the BNB tokens Binance has burned equate to $600 million.

The historical report of the firm suggests that so far, the BNB token burn that Binance has carried out is 20% of its total profits. However, the last burn that Binance has carried out is way more than 20% of what the exchange has demonstrated on every burn in the past.

It is still to be established what percentage of the BNB tokens have been burned by Binance for the recent event.

The CEO of FTX, Sam Bankman-Fried, also talked about the performance of Binance in the cryptocurrency sector in recent months. He stated that Binance is by far the largest cryptocurrency exchange in the entire crypto-verse.

It currently has the highest market capitalization compared to any other cryptocurrency exchange. The reason behind Binance’s success and a lot of adoption is the way the exchange deals with its users and stakeholders.

Ever since its foundation, the exchange has been introducing new products to the cryptocurrency industry. It is one of the major reasons why so much adoption and mainstream success has come to the cryptocurrency industry, to begin with.

In the light of the above, it should not come as a surprise if Binance manages to generate higher profits compared to any other exchange. It has been running the show for a really long time and has gained enormous trust from the crypto sector and mainstream sector alike.

Fried stated that according to figures, Binance must have generated around $1 billion in revenues for the 1st quarter of 2021.

Even the cryptocurrency exchange “Coinbase”, which is considered the second-largest cryptocurrency exchange in the entire crypto-verse, is no match for Binance.

It has been speculated that despite being the second-largest exchange, the profits generated by Coinbase ever since its foundations must be around $780 million to $1.3 billion. Similar to Binance, Coinbase has also gone ahead with the direct listing of its shares through the NASDAQ exchange.

According to the analysts, the profits burned by Binance for the previous burns were 20% of the total burns. On the other hand, it is being speculated that the total profits burned in the recent burn range between 70% and 80%.

Fried stated that if this is indeed taken into consideration then Binance has proceeded with a $600 million burn that could amount to around $750 million worth of profits.

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