BNB (Binance Coin) is the native token of the largest cryptocurrency exchange Binance, originally created as a utility token for paying trading fees on the platform. Over time, BNB has grown into a full-fledged digital asset with a wide range of applications and has become an integral part of the Binance blockchain ecosystem.
BNB was launched in July 2017 as part of an ICO aimed at funding the development of the Binance exchange. Initially, BNB operated on the Ethereum blockchain as an ERC-20 standard token, but was later migrated to its own Binance Chain network and then became the core of BNB Smart Chain (formerly Binance Smart Chain) — an EVM (Ethereum Virtual Machine) compatible blockchain network.
Key functions and applications
Fee reduction: BNB holders receive discounts on fees when trading on Binance.
Means of payment: BNB is accepted as payment by numerous Binance partners — from travel services to online stores.
Fuel for smart contracts: BNB is used to pay for gas in BNB Smart Chain, supporting decentralized applications (dApps).
DeFi, NFT, and GameFi: BNB is actively used in decentralized finance ecosystems, non-fungible tokens, and blockchain games.
Tokenomics: Binance regularly burns a portion of the issued volume of BNB, reducing its circulating supply and contributing to the token's value growth.
BNB as an investment asset
Since its launch, BNB has demonstrated significant price growth. Investors view it as one of the key assets in crypto portfolios due to:
a strong tie to the largest cryptocurrency exchange in the world;
active use within and outside the Binance platform;
support from DeFi projects and cross-chain protocols;
a sustainable tokenomics model with a deflationary burning mechanism.
The BNB Chain ecosystem
BNB Smart Chain (BSC) offers:
high transaction processing speed
support for smart contracts;
cross-chain compatibility through bridges with Ethereum, Solana, and other networks.
The BNB Chain ecosystem includes hundreds of dApp applications, stablecoins, NFT marketplaces, and infrastructure solutions for businesses.
BNB is not just a token, but a fundamental element of the decentralized ecosystem of Binance. With a wide range of applications, active development, and strategic support from Binance, BNB continues to be one of the most significant cryptocurrency assets in the market.
