Venus (XVS) Price Prediction

Deep Dive

1. BNB Burn Alignment (Bullish Impact)

Overview: Venus’ VIP-515 proposal, passed in June 2025, mandates burning 25% of BNB Chain’s revenue as BNB every quarter. This links XVS’ value to BNB’s deflationary mechanics and could attract BNB holders seeking ecosystem exposure.

What this means: If BNB’s price rises due to reduced supply, XVS could benefit from network effects as a core BNB Chain protocol. However, success hinges on sustained BNB Chain adoption – a risk if competing L1s gain traction.

2. Deflationary Tokenomics (Mixed Impact)

Overview: Since November 2025, 20% of Venus’ revenue is used for XVS buybacks/distributions, while 20% funds USDT/USDC rewards via Prime. This reduces sell pressure but depends on protocol revenue growth.

What this means: Q4 2025 saw $110K allocated to Prime incentives (up 120% MoM), signaling growing usage. However, XVS’ 58% annualized price decline shows markets remain skeptical about execution.

3. Security & Trust Risks (Bearish Impact)

Overview: A $27M phishing attack in September 2025 forced Venus to pause operations. While funds were recovered, the incident highlighted vulnerabilities in user-side approvals and oracle reliability.

What this means: Repeated exploits could deter institutional adoption. XVS’ 9% intraday drop post-attack underscores sensitivity – though the team’s rapid response (13-hour recovery) mitigated long-term damage.

Conclusion

XVS’ price will likely swing on BNB Chain’s growth, buyback execution, and protocol safety. While deflationary measures and BNB synergy offer upside, security lapses remain a critical drag. Key question: Can Venus sustain its 10.6K monthly user growth (Token Terminal) while hardening against exploits? Monitor Q1 2026’s BNB burn execution and TVL trends post-Phishing incident.