In early November, Binance Labs invested in the decentralized science (DeSci) field with the choice of the BIO Protocol (BIO) project. After nearly two months, BIO Protocol officially became the 63rd Binance Launchpool project. This confirms Binance's commitment to interest in this field.
The performance of BIO's price is not only significant for BIO investors specifically, but it can also impact the sentiment of many other investors towards the DeSci sector in general.
WHAT MAKES BIO PROTOCOL (BIO) SPECIAL COMPARED TO OTHER BINANCE LAUNCHPOOL PROJECTS?
BIO Protocol is a financial layer for decentralized science (DeSci) aimed at accelerating the flow of capital and talent into science on-chain. Through BioDAO, a global community of scientists, patients, and investors collaboratively fund, develop, and co-own new drugs and therapies.
This solution promises to bring positive impacts not only in terms of investment but also in social impact. Unlike other potential projects with the participation of many VCs, Binance is the only VC investing in this project (amount undisclosed). And it is quickly being tested on Binance Launchpool as a way for the market to estimate the initial valuation of DeSci's potential.
Therefore, if BIO is highly valued, other DeSci projects have a lot of room for price increases and the potential to list on many major exchanges in the future. CoinMarketCap data indicates that the total market capitalization of the DeSci sector is currently only 700 million USD (excluding BIO), with daily trading volume of less than 100 million USD. The success of BIO could increase this number many times over, but this remains an expectation.
HOW MUCH CAN BIO PROTOCOL (BIO) BE VALUED WHEN LISTED ON BINANCE?
According to the project's announcement, BIO has a total supply of 3,320,000,000. Of this, 44% is distributed internally and 56% is distributed to the community. According to Binance Launchpool's announcement, 99,600,000 BIO will be distributed as rewards for Launchpool. The initial circulating supply upon Binance listing will be 1.29 billion, equivalent to 39% of the total supply.
If compared to the diluted market capitalization (FDV) of recently emerging projects on Launchpool like Usual (USUAL) and Vana (VANA) which have a range of 2 billion USD to 5 billion USD, BIO could have a price in the range of about 0.625 USD to 1.5 USD when listed.
Meanwhile, the price of BIO in the pre-market (Whales Market) is around 0.6 USD. The context of BIO going public is different from other Launchpool projects in that market sentiment at the end of December is not as strongly greedy as the previous month, which may affect the price range.
Currently, BIO has no projects in the same niche for correlation comparison. However, this project has been preferentially invested in by Binance from the beginning, so it is likely to attract investor interest and be bought when it goes public.
In summary, the price prediction for BIO could create a low around 0.6 USD and will be bought below this level. However, due to the changing market context, the upward range of BIO may not be well-maintained in the early stages, with the price creating a high in the range of 1 USD to 1.5 USD before adjusting.