Considering the promotion that Binance is doing to reach a historical maximum, now is the time to take advantage of this and earn some tokens.
So BNB is considered a strong cryptocurrency for several reasons, mainly related to its utility and the vast ecosystem that supports it. Here I detail the key factors:
1. Support from the Binance Ecosystem:
Binance, the largest exchange: BNB is the native cryptocurrency of Binance, the largest cryptocurrency exchange in the world by trading volume. This gives it massive exposure and a huge user base.
Utility on the platform: Its main use is within the Binance exchange itself, where it is used to pay transaction fees at a discount. This creates a constant demand from traders.
2. Growing Utility and Use Cases:
BNB Chain: BNB is the "gas" or currency for paying transaction fees on BNB Chain (formerly Binance Smart Chain). This blockchain is popular for decentralized applications (dApps), games, non-fungible tokens (NFTs), and decentralized finance (DeFi) projects, creating high demand for BNB to operate on it.
Binance Launchpad: It is used to participate in the sale of new tokens from projects through Binance Launchpad, attracting investors who want to access pre-sale opportunities.
Beyond the Binance ecosystem: BNB has achieved wider adoption and is accepted as a means of payment in a variety of services and businesses.
3. Mechanism of "Burning":
Reduction of supply: Binance has a "quarterly burn" policy for BNB, where a portion of the tokens is permanently removed from circulation. This reduces the total supply of BNB, which, in theory, can create a deflationary effect and contribute to its long-term appreciation.
4. Speed and Cost of Transactions:
BNB Chain uses a consensus protocol known as Proof of Staked Authority (PoSA), which allows for very low confirmation times and much lower transaction fees compared to other networks like Ethereum. This makes it attractive for users seeking fast and economical transactions.
In summary, the strength of BNB is due to its deep integration into the Binance ecosystem, its growing utility beyond a simple payment of fees, its deflationary policy of token burning, and the technical advantages of the BNB Chain in terms of speed and cost.
During the Activity Period, create at least one eligible post on Binance Square that meets the following criteria: