While the cryptocurrency market has experienced a downturn, BNB coin has gained significantly in the last seven days.
Apart from Dogecoin, the native token of the world’s largest crypto exchange gained over 20% this week.
The token has also experienced an increase in 24-hour trading volume. Over $1.1 million in BNB tokens have changed hands in the last day, a 9.45% increase. BNB is currently trading at $349, a 4.74% gain on the day.
There is no single factor driving the BNB token’s rise. However, Binance’s involvement in Elon Musk’s Twitter acquisition is most likely to blame.
Binance also launched a ‘blue bird’ index, which included BNB, Doge, and Mask. Some analysts interpreted it as the crypto exchange implying that tokens would be accepted as payment methods on Twitter.
While the BNB token is on the rise as a result of the Twitter deal, its parent company appears to be looking into other opportunities. According to a recent Bloomberg article, Binance is considering acquiring a bank.
This type of deal has the potential to reduce tensions between the Bitcoin sector and traditional banking. Changpeng Zhao, CEO of Binance, recently stated that the company is willing to spend more than $1 billion on acquisitions.
Despite the severe market downturn, Binance continues to see a lot of potential and has already invested in 67 projects this year. Zhao stated that the company intends to invest in gaming, e-commerce, and other industries.
Its scope has been expanded to include financial institutions as potential buyers. Zhao has yet to reveal which bank is being considered by the cryptocurrency exchange.
He did, however, mention the possibility of Binance acquiring a minority stake rather than a full takeover.
Binance, according to the cryptocurrency tycoon, could help banks increase their user base and valuation. FTX CEO Sam Bankman-Fried mentioned the possibility of acquiring Goldman Sachs in July.
However, given the recent cryptocurrency meltdown, it is clear that cryptocurrency elites will never catch such massive fish.
In terms of purchases, Bankman-Fried took a new approach, heavily investing in foreclosed properties and other troubled assets.