Binance just hit a massive milestone, $1 billion in aggregate profit. The global cryptocurrency exchange has been launching a ton of new features including Binance futures and Margin & Lending.
Binance Completes 9th Quarterly BNB Burn
Changpeng Zhao, CEO, and founder of Binance said that the third quarter of 2019 was really productive and that Binance made a profit of $183.5 million in this quarter alone. Binance also recently burned 1.10% of the BNB supply as they regularly do.
Binance has stated that they do not buy back BNB for the burn as they think it’s best for a platform to get its main income from their native token.
Binance Futures also has been having a great performance climbing to rank 2 in trading volume for cryptocurrency futures exchange with a $0.71 billion. The only exchange that beats Binance currently is BitMEX.
Binance futures and Margin Trading
Binance has also launched Margin and Lending products in Q3. The new service allows users to benefit from the coins they store in the Lending platform by earning interest.
According to Binance, these digital assets are not used for other risky investments, they stay in the Binance platform and they are fully risk-managed by the Binance Margin system.
The Declining Price Of Binance Coin
Unfortunately, the price of BNB has been declining since June of this year and Changpeng Zhao seems to be very perplexed about it, stating that the 50% price drop of BNB doesn’t make much sense. Zhao said:
‘’There are many possible reasons for it, although none of them make much sense to me. Yes, there was a drop in the price of bitcoin, our industry’s index. There was some FUD on various things (per usual). Regardless of all that, I think (in my biased view) our results out-shine them all. Yet, the price of BNB did decline. Markets often confuse people, even me sometimes.’’
It might look weird for BNB price to drop after such success, however, it’s important to note that the digital currency climbed from a low of $4.12 in December of 2018 to an all-time high of $39.59 in June of 2019. This huge price increase certainly needed a huge consolidation.