Binance Coin is a cryptocurrency that was created by the Binance exchange and is traded under the symbol BNB. The Binance Exchange, with a volume of $7.6 billion as of Q2 2022, is the world’s largest cryptocurrency exchange.
Understanding Binance Coin (BNB)
Binance currency was originally based on the Ethereum blockchain and followed the ERC 20 standard, but it has subsequently become the Binance chain’s native token. It was launched in July 2017 as part of an initial coin offering (ICO) with a cap of 200 million BNB tokens. Through the ICO process, it provided 10%, or 20 million BNB tokens, to angel investors, 40%, or 80 million, to the founding team, and the remaining 50%, or 100 million, to the various participants.
Almost half of the funds raised during the ICO were intended for Binance branding and marketing, with the remaining one-third going toward building the Binance platform and making essential changes to the Binance ecosystem.
BNB is the native currency of Binance’s own blockchain, the Binance Chain, and was originally based on the Ethereum network.
Binance Coin burning
Although the initial ICO provided 100 million Binance tokens, the actual total supply is lower. Binance spends one-fifth of its revenues every quarter to repurchase and permanently destroy Binance tokens held in its treasury, a process known as “burning.”
These burning activities have been held by Binance on a regular basis. The most recent BNB burn took place on April 15, 2021, when Binance burned a total of 1,099,888 BNB, which is equal to $595,314,380 USD in tokens. It’s Binance’s 15th quarterly BNB burn, and the company’s largest in terms of dollars. BNB supply has fallen from 170,532,825 to 169,432,937 units.
Binance coin uses and support
Binance was founded in 2017 as a utility token with lower trading fees. However, since then, it has been used in a variety of applications on a variety of platforms. It’s used to pay for Binance.com, Binance DEX, and Binance Chain transaction fees.
It can also be used for payments (at sites like Crypto.com, Monetha, and HTC); to book travel accommodations (at sites like TravelbyBit, Trip.io, and Travala.com); for entertainment (virtual gifts, card packs, and lotteries); to pay for online services (BitTorrent, Canva, and Storm); and even for financial purposes (at sites like Crypto.com, Monetha, and HTC) (take out a loan at ETHLend or make investments at Moeda).
Binance coins can also be used to invest in select ICOs listed on Binance’s Launchpad program. Binance is a smooth marketplace for trading in a range of established and new virtual tokens. New cryptocurrencies list on the Binance exchange, and using Binance provides a seamless marketplace for trading in a variety of established and new virtual tokens.
Other collaborations have backed the crypto coin, which has helped it gain traction. It includes a relationship with Uplive, Asia’s leading high-end live video streaming platform, which distributes virtual gifts to Uplive’s 20 million users in exchange for BNB tokens.
The platform, mobile app, and VISA debit card of Monaco, the pioneering payments and cryptocurrency platform, all support the Binance coin.