Login to view
[s2If !current_user_can(access_s2member_level1)][lwa][/s2If] [s2If current_user_can(access_s2member_level1)]
| Website | binance.com | ||||
| Explorers | Mintscan | ||||
| Wallets | Ledger | Trezor | Xdefi | Coin98 | Trust Wallet |
| Community | |||||
| Search on | |||||
| Source Code | Github |
Description
What is Binance Coin (BNB)?
Binance Coin (BNB) is an exchange-based token created and issued by the cryptocurrency exchange Binance. Initially created on the Ethereum blockchain as an ERC-20 token in July 2017, BNB was migrated over to Binance Chain in February 2019 and became the native coin of the Binance Chain.
Binance Coin has seen massive growth in interest throughout the years. Several rounds of token burn events have appreciated BNB price and pushed it up as one of the top-10 cryptocurrencies by market capitalization. BNB can be traded in over 300 trading pairs across 120 exchanges tracked.
What is Binance?
Binance is the cryptocurrency exchange founded by Changpeng Zhao and He Yi in July 2017. Binance started with an Initial Coin Offering (ICO) and has since grown into one of the largest global cryptocurrency exchanges, both in terms of volume traded and market share by web traffic.
The Binance exchange is separated into the Spot market, Futures market, as well as the decentralized exchange, Binance DEX.
What can you use BNB for?
BNB was initially created as part of the Binance exchange through its ICO. In its whitepaper, Binance states that BNB was designed to be used to pay discounted fees on the Binance platform and also function as the native token powering the Binance Chain.
In addition to the initial use cases, BNB has added other cases both on and outside of the Binance platforms. Here’s an overview of BNB use cases:
-
Reduced Trading Fees – When trading fees on Binance are paid using BNB, users are entitled to a 25% discount in fees.
-
Binance Account Tier – Users with account balances in BNB and 30 days accumulated trading volume above certain thresholds are given VIP tiers with additional fee discounts and perks.
-
Dust Conversion – Users can convert non-tradeable amounts of various cryptocurrencies called dust in their Binance account into BNB.
-
IEO Lottery – Binance’s Initial Exchange Offerings (IEO) are conducted using lottery allocations determined using the amount of BNB held by users.
-
Binance Chain Native Token – Much like how Ether (ETH) is used to pay for fees on the Ethereum Blockchain, BNB is used to pay for fees on the Binance Chain. BNB is needed to trade on the Binance DEX.
-
Spent as Cryptocurrency – In addition to being used on Binance’s platforms, BNB can also be spent for payments in various ways, such as paying for travels, credit card fees, gifts and more. The full list is available here.
There may be more ways to use BNB that have not been covered here, but generally BNB can be used like any other cryptocurrencies to pay for goods and services as long as the merchant accepts it.
Binance Coin (BNB) Burn
Binance Coin (BNB) is designed with token burn in mind to induce scarcity and drive up the value of the token. In its v1.1 whitepaper (archived copy), Binance stated that 20% of Binance’s profits will be used to purchase BNB and subsequently destroyed in every quarter. In 2019, Binance updated its whitepaper to v1.2. In the updated whitepaper, it is stated that BNB burns will now be based on its exchanges’ trading volume.
Since Binance began burning BNB in Oct 2017, 10 rounds of token burns have taken place, with about 16.7 million BNB worth approximately $208 million burned up till January 2020.
Holding and Storing Binance Coin (BNB)
Binance Coin (BNB) is supported by various hardware and software wallet providers. The choice between hardware and software wallets is mostly a balancing act between convenience and security to the user. We’ll provide a quick rundown on them in this section.
Generally, hardware wallets (e.g. Ledger) are non-custodial wallets which keep private keys of a wallet offline and only the owner knows it. This is arguably the safest option for storage as the user has full ownership of the coins, but is likely the least convenient as it requires the user to operate additional hardware to spend/use the cryptocurrency.
Non-custodial software wallets (e.g. Trust Wallet, Atomic Wallet) is the next option in terms of safety compared to hardware wallets, although they are likely more convenient. The private keys are also owned by the user, but since the wallet is kept on an online device (eg. the phone), there is a higher risk of losing the funds as hackers can access devices which are connected to the internet.
Lastly, arguably the most convenient yet risky storage method would be storing funds on custodial wallets (eg. on a centralized exchange such as Binance) as users do not own the private keys to the funds. A hack on the storage location can potentially cause users to lose their funds, much like what happened during the infamous 2014 Mt. Gox hack which recorded a massive loss of 850,000 BTC, most of which are customer funds.
Check out the full list of wallets which supports BNB on Binance’s own updated list here.
Are there any Binance Coin (BNB) Derivatives?
Yes, if you are looking to enter a long or short BNB position, both perpetual swaps and futures are available for BNB. Perpetual swap trading pairs are available across several platforms, including on Binance’s very own derivative exchange, Binance Futures with the BNBUSDT perpetual swap pair. For those who are looking for BNB futures trading, only FTX offers it at the moment.
Check out the full list of derivative products or derivative exchanges listed on CoinGecko.
Where can I learn more about Binance Coin (BNB)?
To learn more about Binance Coin, you may watch an AltcoinBuzz’s interview with CZ, CEO of Binance Exchange, here
24 hour trading pattern
7 Days trading pattern
14 Days trading pattern
30 Days trading pattern
90 Days trading pattern
180 Days trading pattern
One year trading pattern
Max Price chart
BNB price today is $387.92 with a 24-hour trading volume of $1,380,788,478. BNB price is down -0.5% in the last 24 hours. It has a circulating supply of 170 Million BNB coins and a total supply of 168 Million. If you are looking to buy or sell BNB, Binance is currently the most active exchange.
BNB hit an all time high of $686.31 on May 10, 2021 (12 months).
BNB had an all time low of $0.039817697188 on Oct 19, 2017 (over 4 years).
The 24 hour trading volume of BNB is $1,380,788,478.
Join Our Telegram Group
Join Our Twitter [/s2If]
Join Our Telegram Group