BNB Chain’s Resilience Amid Growing Institutional and DeFi Adoption

BNB Chain’s Revival: How Institutional and DeFi Investments Are Powering Its Growth

BNB Chain, affiliated with Binance, has made a strong recovery after a period of stagnation in 2023, driven by the rapid growth of decentralized finance (DeFi) and institutional adoption. The blockchain network has seen significant gains, benefiting from a multibillion-dollar influx into DeFi, rising trading volumes on Binance’s centralized exchange (CEX), and the growing popularity of US exchange-traded funds (ETFs).

BNB Token Reaches New Heights

As a result, the native token of BNB Chain, BNB, has shown remarkable resilience, surpassing all-time highs in early 2025 despite the broader cryptocurrency market experiencing downward trends. Joao Wedson, CEO of investing analytics platform Alphractal, emphasized the strong fundamentals behind BNB’s growth: “Binance has built a massive ecosystem where BNB is used extensively,” Wedson said in an April post on X.

Asset manager Standard Chartered forecasts a bright future for the BNB token, predicting its price could reach $2,775 by the end of 2028. As of May 7, BNB is trading at around $600 per coin, with a market capitalization nearing $85 billion, according to CoinMarketCap.

DeFi Inflows Continue to Drive BNB Chain Growth

BNB Chain’s total value locked (TVL) has shown significant growth since the beginning of 2024, rising from $3.5 billion to over $6 billion, based on data from DefiLlama. Although it hasn’t fully recovered to its 2022 highs of over $20 billion, BNB Chain still ranks fourth among layer-1 blockchain networks by TVL.

Despite some limitations on its upside potential due to its focus on decentralized exchanges (DEXs), lending protocols, and liquid staking, BNB Chain remains a stable and reliable platform. Standard Chartered noted that this concentration on specific use cases provides a degree of stability, making BNB Chain less volatile compared to its competitors.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Cryptocurrencies and stocks, particularly in micro-cap companies, are subject to significant volatility and risk. Please conduct thorough research before making any investment decisions.