BNB is a crypto token used on Binance Chain and Binance Smart Chain. BNB is an abbreviation of Binance Coin, which is the native currency of Binance, one of the largest crypto exchanges in the world.
BNB was initially issued as an Ethereum-based ERC-20 token in 2017. However, in 2019, Binance launched Binance Chain, a public blockchain designed specifically for digital asset exchange. At that point, BNB is converted into a native Binance Chain token.
The main use of BNB is as a means of payment in the Binance ecosystem. Here are some uses for BNB:
🏆 BNB can be used to pay transaction fees on Binance Exchange, including trading fees, withdrawal fees, and more. By using BNB to pay transaction fees, users can obtain significant discounts.
🏆 Binance Launchpad is a platform where crypto projects can hold their token sales. BNB was used to purchase tokens in this sale.
🏆 BNB can be used as a means of payment in several online stores and services that collaborate with Binance.
🏆 BNB is also used by some investors as an investment tool or store of value. BNB has a large market capitalization and is one of the most popular tokens in the crypto industry.
In 2020, Binance also launched Binance Smart Chain (BSC), a separate blockchain compatible with Ethereum smart contracts. BNB is also used on the Binance Smart Chain as the base currency for transaction fees and smart contract activities.
BNB has a limited supply with a total of 200 million tokens. Binance has also announced plans to periodically burn BNB from the existing supply to reduce the amount in circulation and increase the value of the token.