In the bear market, two cryptocurrencies stood out from the crowd as high performers, despite terrible macroeconomic conditions. We are, of course, talking about MATIC vs BNB.
Polygon and Binance have risen as leaders of the industry, each project with different aspirations and goals. They have managed to push forward with innovation and adoption, whereas other platforms are facing dismal engagement.
In this article, we explore BNB and MATIC fundamentals to compare their use cases and target audiences. In addition, we will look at historical and future price performance. This should provide you with enough data to make informed decisions regarding investment in either of these assets.
Table of Contents
What Is MATIC?
Polygon is a scaling solution for the original smart contract blockchain — Ethereum. It provides a sidechain that allows Ethereum users to bridge assets and benefit from low transaction fees and high speeds.
Moreover, the recent ZkEVM chain provides rollups, where applications and assets can be seamlessly ported onto Ethereum. Transactions are carried out on a separate blockchain and then rolled up on the underlying Ethereum network.
Developers can deploy EVM solutions without code modification, allowing everything to work out of the box, as it previously was on Ethereum. Note that Polygon inherits the Layer 1 security from Ethereum and adds another layer through zero-knowledge proofs.
The MATIC token is the native cryptocurrency of the network and is vital to the proof of stake consensus model Polygon uses. Users can stake their MATIC and receive rewards, and thus, secure the network and participate in validating transactions.
MATIC has a maximum supply of 10,000,000,000 with 93% already in circulation, reducing any inflation risks in the long term.
MATIC Market Performance
The MATIC token entered the cryptocurrency markets in Q2 2019, in the middle of the bearish cycle of that period. As such, it struggled to gain any momentum due to the poor market conditions at the time. That said, the Polygon team kept building, and as the bullish cycle of 2020 took place, MATIC rallied significantly.
In 2021, the token reached an all-time high of $2.92 and was propelled into the top 20 cryptocurrencies by market cap. Despite the retracement in the bear market of 2022, MATIC managed to conserve more value than the competition.
Consequently, we can see it still performing as a top 10 cryptocurrency, with a price of around $1 per token.
MATIC Price Prediction
Priceprediction.net expects MATIC to reach $2.74 in 2025. It also hopes it will surpass its all-time high significantly in 2030, with a target of $17.76 for that year.
What Is BNB?
The Binance ecosystem is powered by the BNB token, which has become one of the pillars of the cryptocurrency industry. Initially a discount token for Binance exchange trading fees, BNB has increased in use cases exponentially.
This is mainly due to the launch of the BNB Chain, which combines the Binance Beacon Chain and the Binance Smart Chain (BSC). The first is the staking and governance layer of the ecosystem, while the second provides smart contract capability — and the BNB token is used on both chains as gas.
Binance’s worldwide popularity has helped the BNB Chain gain incredible traction in the industry. It has become the most used smart contract platform after Ethereum, with thousands of dApps and tokens running on its protocol. This has pushed users to swap FTM to BNB, with the hope of more upside potential.
BNB Market Analysis
BNB coin was one of the best-performing cryptocurrencies in the bear market of 2019. This has helped it establish a solid user base over the years. However, it was in 2021 that it reached its full potential increasing in price from $10 to an all-time high of $690. Currently, the price is hovering around $310.
BNB Price Forecast
Websites like priceprediction.net see a bright future for BNB. For 2025, they have set a maximum target of $966.33 and as high as $6,414.56 for 2030.
MATIC vs BNB: Investor’s Choice
Considering Polygon and Binance Coin are driven by different fundamentals, their price action is impacted by different factors. As a Layer 2 protocol, MATIC will continue to strive and gain attention from Ethereum users. BNB, on the other hand, continues to onboard new users in its ecosystem. Consequently, a smart investment choice would be to spread some portfolio allocation in both of these assets.