XRP Has The Opportunity To Shift BNB From The Fourth Largest Crypto Position In The World

XRP and BNB crypto assets. (Photo; Doc. Livecoins)

JAKARTA Currently BNB, native token Binance, is ranked 4th largest crypto asset by market cap. BNB is under Bitcoin (BTC), Ethereum (ETH), and USDT stablecoins. However, it seems that BNB is starting to be threatened by the fifth largest crypto asset, XRP.

At the time of writing, BNB's market capitalization is in the range of IDR 541 trillion and XRP at IDR 502 trillion. The difference in BNB and XRP market capitalization is now only IDR 39 trillion. This makes XRP potentially surpass BNB. If BNB is stagnant, XRP has the potential to exceed it.

In early 2023, the two were far adrift, with the BNB market cap more than double XRP, before the Binance CEO Changpeng Zhao's resignation last week.

According to a Blockworks report, XRP briefly shifted BNB in July when a US federal court declared the sale of XRP by Ripple to the public not securities. This news pushed the price of XRP up 75% and again made it the fourth largest cryptocurrency in the market, after bitcoin (BTC), ether (ETH), and tether (USDT).

XRP, one of the oldest cryptocurrencies launched in 2012, then returned to fifth position the following month. This crypto asset is the main asset of Ripple Ledger, now known as "XRP Ledger," which is offered as a cost-effective and fast intermediary asset for transnational remittance.

While BNB is the main token for Binance Smart Chain, a network similar to Tron. This network supports various tokens and applications, including crypto, stablecoin, memecoin, decentralized exchange, and DeFi protocol. Traders can also use BNB to save trading costs in Binance.

Before February 2021, XRP still occupies the fourth position as the largest crypto asset by market cap. Meanwhile, BNB is in fifth position. However, when the bullish market began in mid-February, BNB experienced a significant rally so that it was able to shift XRP.

Both face lawsuits, Ripple has been faced with a feud with the US Securities and Exchange Commission (SEC) since late 2021. The SEC accused Ripple and its founders Brad Garlinghouse and Chris Larsen of selling unregistered securities. Last October, the court ruled that XRP was not a security and the SEC had lost, the price of XRP began to recover.

Then last week, Binance faced a lawsuit from the US Department of Justice (DOJ) over a money laundering case. This condition forced Changpeng Zhao to step down from the position of CEO at the time. BNB's price movement reacted with a decrease of around 10%.