On Binance, the world's largest cryptocurrency exchange by trading volume, BNB serves several crucial functions:
* Trading Fee Discounts: One of its primary utilities is to allow users to pay for trading fees on the Binance exchange at a discounted rate. The discount percentage has decreased over time but still provides an incentive for users to hold and use BNB.
* Access to Launchpad and Launchpool: BNB holders often receive priority access or exclusive participation in Binance's token launch platforms, Launchpad and Launchpool, where new crypto projects issue their tokens.
* VIP Program Benefits: Holding a certain amount of BNB can qualify users for Binance's VIP tiers, which offer benefits like lower trading fees, higher withdrawal limits, and other perks.
* Collateral and Borrowing: BNB can be used as collateral for margin trading and crypto loans on the Binance platform.
Beyond the Binance exchange itself, BNB has expanded its use cases significantly:
* BNB Chain Ecosystem: It powers transactions on the BNB Chain, including gas fees for the BNB Smart Chain, which supports decentralized applications (dApps) and decentralized finance (DeFi).
* Payments: BNB can be used to pay for goods and services from various merchants and service providers, including travel bookings, online shopping, and more.
* DeFi Applications: It is integral to numerous DeFi protocols on the BNB Smart Chain, used for staking, providing liquidity, borrowing, and as a governance token.
* NFTs and Gaming: BNB is used for buying and selling non-fungible tokens (NFTs) on the Binance NFT marketplace and within various blockchain games.
Binance also implements a regular "burn" mechanism, where a portion of the total BNB supply is permanently removed from circulation, aiming to increase the scarcity and potentially the value of the remaining tokens. Currently, 1 BNB is equivalent to approximately 80,959.81 Bangladeshi Taka.
