$BNB (Binance Coin) is the native cryptocurrency of the Binance ecosystem, originally launched in 2017 as an ERC-20 token on the Ethereum blockchain before migrating to Binance’s own blockchain, Binance Chain and later BNB Smart Chain (BSC).
Key Aspects of BNB:
1. Utility Token: BNB was initially created to offer discounts on trading fees within the Binance exchange, but its use has expanded significantly.
2. Binance Smart Chain (BSC): BNB powers transactions and smart contracts on BSC, a blockchain designed for fast and low-cost DeFi applications.
3. Burn Mechanism: Binance regularly burns (destroys) BNB tokens to reduce supply, increasing scarcity and potentially boosting value.
4. Use Cases:
• Trading fee discounts on Binance
• Transaction fees for BSC and Binance Chain
• Staking & governance in BSC-based projects
• Payments at merchants accepting BNB
• Participation in Binance Launchpad token sales