Binance Coin Facts And Uses

Binance Coin (BNB) Binance Coin (BNB) is a cryptocurrency that can be used to make trades and pay fees for the Binance cryptocurrency exchange. Binance Exchange Binance Exchange was the largest cryptocurrency exchange worldwide at writing in January 2018 and provided greater than 1.4 million transactions every second.

Customers who use Binance Coin receive a discount in transaction charges through the Binance Exchange. BNB can be traded and exchanged for other currencies, including Bitcoin, Ethereum, Litecoin, etc.

Binance Coin was first introduced in July 2017 and used the Ethereum blockchain, using the token ERC-20. It later was adopted as the currency for Binance’s blockchain, called the Binance Chain.

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Binance Coin Facts| Binance Coin Uses

As with other emerging cryptocurrencies, Binance Coin is no different. Binance Coin has many options that go beyond Binance exchange, including

  1. Trading Binance Coin can be traded in exchange for other cryptocurrencies through various exchanges, subject to the limitations set in place by each exchange.
  2. Transaction charges for transactions on Binance Exchange: BNB can be used to pay for transactions made on the Binance Exchange, and users get a discount.
  3. Credit card transactions: BNB can be the payment method for Crypto credit card bills made on Crypto.com.
  4. Processing of payments Merchants can offer BNB as a method for payment to customers and offer greater flexibility when it comes to payment methods.
  5. Travel arrangements for booking: BNB can be used to reserve hotels and flights on a few websites.
  6. Investment Different platforms permit users to purchase ETFs, stocks, and other assets with Binance Coin.
  7. Transfers and loans: BNB can be used as collateral to secure loans on specific platforms. Some apps let users split the cost of bills and pay relatives and friends with Binance Coin.

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Binance Coin Initial Coin Offering

Binance Coin was introduced with its ICO in July 2017. In the course of the ICO, BNB tokens were distributed among different participants, including angel investors and the Binance founders.

  • The team that founded the foundation 40 percent (80 million BNB)
  • Investors from the angel market 10 per cent (20 million BNB)
  • Public sale 50 percent (100 BNB) BNB)
  • The 100 million BNB tokens for sale in the ICO are at 15 cents each. Thus, Binance received $15 million in bitcoin and Ethereum.
  • 35% was dedicated to improving Binance’s exchange and platform Binance trading platform and the exchange service.
  • 50% of the funds were allocated to the Binance brand, branding and marketing, and young creators’ education. The rest of the 15% is set aside as a reserve in the event of an emergency or other unusual situations.

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BNB Burning

In the Binance whitepaper, Binance uses 20% of its profits to pay again and burn Binance Coins, which then destroys the coins completely. Binance has always conducted quarterly burns, with the most recent was the 13 13th quarter burn that took place on 17 October 2020.

Binance continues to conduct periodic burns until it buys back and removes 100 million Binance coins, which is 50 per cent of the total quantity. This ensures that the amount of Binance Coin will be limited, making it extremely scarce and valuable.

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Additional Resources

CFI provides CFI’s Commercial Banking & Credit Analyst (CBCA)(TM) certification program for those who want to advance their careers to the next step. To continue to grow and expand your expertise, look into the other sources listed below:

Blockchain

Cryptocurrency

Digital Currency

Ethereum

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