NAMES:
HAMZA MUSTANSIR
MUHAMMAD ALI TALIB
MUHAMMAD FAHAD KEYANI
MUHAMMAD DAYEM IQBAL
REG.NO:
FA18-BBA-046
FA18-BBA-081
FA18-BBA-086
FA18-BBA-085
ASSIGNMENT 2
SM
DR. ADIL TAHIR
FINANCIAL ANALYSIS:
Binance is one of the largest cryptocurrency exchanges in the world, responsible for $7.7 trillion crypto
exchange volume in 2021. It was founded in 2017 by Changpeng Zhao, who previously worked for
Blockchain.info and as CTO of OKCoin.
Launched in Hong Kong, it quickly became one of the leading exchanges, but from the get-go faced
increasingly restrictive regulations which forced it to migrate servers and headquarters to Malta.
Binance has one of the widest selections of alt-coins available on its exchange and even launched its own
coin, Binance Coin, which is currently the fifth most valuable coin by market cap behind Bitcoin,
Ethereum, USD Tether and Cardano.
Binance key statistics
Binance reported a profit of between $800 million and $1 billion in 2020
We estimate that Binance has 28.6 million users as of October 2021
Binance annual spot trading for 2021 is already seven times larger than its 2020 value
Its peak 24 hour trading volume is $76 billion
Binance revenue
Year Revenue
2020 $5.5 billion
2021 $20 billion
Binance Revenue, As we can see it in the above table that in 2020 binance has made revenue of $5.5
billion and in 2021 the revenue increased to $20 billion. This show’s that the company is going in good
directions and each year people are investing in crypto currency. If this continues then hopefully in the
near future binance may be the most profitable organization in the world.
Binance profit
Year Net income
2017 $7.5 million
2018 $850 million
2019 $570 million
2020 $900 million
Talk about we can see in above table that binance profit has increased every year with large margin. In
2017 the company earned a profit of 7.5 million dollars. While in 2018 the profit is increased to 850
million dollars the company has estimated increment of 842.5 million dollars. While 2019 the profit of
the company decreased mostly because of the COVID. The company was unable to earn more and there
profit decreased. But in 2020 they overcome that gap and now Company is in good shape.
Binance users
Year Users
2017 1.5 million
2018 13.3 million
2019 16.5 million
2020 21.5 million
2021 28.6 million
The company users increased with the passage of time. Because people started to believe that the crypto
is the future of the world that’s why they are investing their money in binance and its users are increasing
each year. But the disadvantage is that if the value of crypto falls all the users will going to lose their
entire investment.
Binance peak trading volume
Year Peak trading volume (24 hours)
2017 $3 billion
2018 $19 billion
2019 $15 billion
2020 $35 billion
2021 $76 billion
The binance trading value is very high and its value has increased each year. Mostly because people
believe that it is the most authentic company for the crypto exchange and it has also develop a level of
trust with its members.
Binance annual crypto exchange volume
Year Annual exchange volume
2017 $59 billion
2018 $516 billion
2019 $401 billion
2020 $1.07 trillion
2021 $7.7 trillion
