Binance Coin (BNB) Uses, Support, and Market Cap
ABinance Coin is the cryptocurrency issued by Binance exchange and trades with the BNB symbol. As of June 2023, Binance Exchange is the largest cryptocurrency exchange in the world, with a volume of $8.3 billion.Binance Coin is the cryptocurrency issued by the Binance exchange and trades with the BNB symbol.BNB was initially based on the Ethereum network but is now the native currency of Binance’s own blockchain, the Binance chain.
Understanding Binance Coin (BNB)
Binance coin initially ran on the Ethereum blockchain with ERC20 Standard but has since become the native coin of the Binance chain. It was launched during an initial icon offering (ICO) in July 2017 and has a strict maximum of 200 million BNB tokens. It offered 10%, or 20 million, BNB tokens to angel investors 40%, or 80 million, tokens to the founding team, and the remaining 50%, or 100 million, to the various participants through the ICO process.
Almost half the funds raised during the ICO process were intended to be used for Binance branding and marketing, while around one-third were used to build the Binance platform and perform necessary upgrades to the Binance ecosystem.
BNB was initially based on the Ethereum network but is now the native currency of Binance’s own blockchain, the Binance chain.
Binance Coin Burning
Although 100 million Binance tokens were initially offered in the ICO, the current total supply is lower. Every quarter, Binance uses one-fifth of its profits to repurchase and permanently destroy, or “burn,” Binance coins held in its treasury.Binance has regularly performed these burning events. The latest BNB burn came on April 15, 2021, when Binance burned a total of 1,099,888 BNB, equivalent to $595,314,380 USD worth of tokens. It is Binance’s 15th quarterly BNB burn and its largest ever in terms of U.S. dollars. The total supply of BNB has decreased from 170,532,825 to 169,432,937.
Binance Coin Uses and Support
Binance was created as a utility token for discounted trading fees in 2017. But since then, its uses have expanded to numerous applications on a wide number of platforms. It is used to pay for transaction fees on Binance.com, Binance DEX, and Binance Chain.
It can also be used for payments (at places like Crypto.com, Monetha, and HTC); to book travel accommodations (at sites such as TravelbyBit, Trip.io, and Travala.com); for entertainment purposes (virtual gifts, card packs, lotteries); to pay for online services (BitTorrent, Canva, Storm); and even for financial purposes (take out a loan at ETHLend or make investments at Moeda).