Binance Controls 76% of BNB Token Emission: Forbes Investigation
Date: 2023-10-07 Author: Dima Zakharov Categories: IN WORLD
Binance Development Controls 76% of BNB Emission
Cryptocurrency exchange Binance, considered one of the largest and most influential in the world, has come under scrutiny after Forbes conducted an investigation revealing its significant influence on Binance Coin (BNB). The study, conducted in collaboration with Gray Wolf Analytics and Inca Digital, unveiled several intriguing details.
Launch and Binance Coin ICO
Binance Coin (BNB) was launched in July 2017 through an initial coin offering (ICO) conducted by the Binance exchange. The ICO had plans to issue 100 million BNB coins, with Binance founder Changpeng Zhao expecting to raise around $15 million at an average token price of $0.15.
Unsuccessful ICO and Coin Retention
However, the investigation revealed that the BNB ICO was far less successful than anticipated. Initial investors received far fewer coins than were stated. Instead of 100 million coins, only 10.78 million were distributed to early investors.
Binance's Control Over BNB
One of the key points of the investigation was the identification of Binance's control over BNB. As of August 31, 2023, Binance owned approximately 117 million BNB coins, accounting for 76% of the total circulating supply. These assets include both disclosed holdings and "secret wallets" used for corporate purposes.
BNB's Historical Path
The price of BNB reached its peak in May 2021, hitting $686 per coin. However, it subsequently declined, and at the time of writing, BNB was trading at a lower price.
The Forbes investigation shed light on how Binance has influenced BNB since its launch. Despite a challenging start with the ICO, BNB has become one of the leading cryptocurrencies in terms of market capitalization, valued in billions of dollars. Nevertheless, questions regarding the exchange's control over the coin continue to be relevant within the cryptocurrency community.
