XRP Closes in on BNB in Market Capitalization Ranking
The crypto market capitalization ranking has seen a significant shift in recent times. Binance's native token, BNB, currently ranks fourth with a market capitalization of $96.55 billion, while XRP is fifth at $85.61 billion, according to CoinGecko. The gap between the two tokens stands at $10.94 billion.
XRP would need a 12.8% gain to draw level with BNB if its price and circulating supply did not move. On the other hand, if XRP stood still, BNB would have to fall about 11.3%, to roughly $643, for their market caps to meet.
The ranking is often misunderstood as a valuation of the companies associated with these tokens, but it is essential to note that crypto market capitalization multiplies a token's price by its estimated circulating supply and does not measure an exchange's enterprise value or cash reserves. BNB has real links to Binance, serving as a utility token within the exchange ecosystem, but owning BNB does not give holders shares, voting rights, or a claim on the private exchange's profits.