The Binance exchange is directly or indirectly familiar to anyone who is at least superficially interested in cryptocurrencies. The exchange has existed since 2017 and during this time it has become the market leader. The Binance Coin (BNB) cryptocurrency, the native token of the Binance ecosystem, has been around for about the same amount of time.
The coin and the exchange mutually support each other’s popularity and do it quite successfully. In 2021, BNB entered the TOP-10 most valuable cryptocurrencies and actively competes with Tether for third place.
What is BinanceCoin
The coin was released in July 2017 through an ICO. As a result, about $ 15 million was collected, which looks more than modest.
Since Binance Coin is an internal coin of a centralized system, they are all already pre-mined. The amount of BNB is limited to 200 million, but over time it decreases and eventually half of the original amount will remain in circulation.
Binance Coin is essentially the same cryptocurrency as all other altcoins. That is, it can be exchanged for other assets, the exchange rate of the coin is subject to the same volatility as the entire cryptocurrency market.
BNB was launched on the basis of the Ethereum blockchain and was originally an ERC20 token. In 2019, the exchange launched its own blockchain, where Binance Coin was also relocated.
What is BNB used for?
The coin performs several functions:
- It is used as a full-fledged trading asset.
- Serves as a means of accumulation.
- Accepted for payment for goods and services.
- Used to reduce exchange fees in the Binance system.
Regarding the last two points, it is worth making reservations. The use of cryptocurrencies as a full-fledged means of payment is still quite limited. Reducing fees for Binance Coin holders also has its own characteristics.
During the first year after the launch of BNB, the discount rate for asset holders was set at 50%. Then the percentage of the discount was halved annually and soon the presence of the exchange’s own tokens will not affect the amount of exchange fees.
Where to trade Binance Coin
All coins have already been mined, so the only way to get BNB is to buy with fiat money or cryptocurrency. It makes sense that the first place to look for BNB is its native Binance ecosystem. Here, the coin forms over 400 trading pairs with fiat and digital currencies. However, finding the best selling rate is sometimes difficult. For example, the BNB/BITCOIN trading pair outside the native ecosystem is supported by just a few sites, including Gate.io and KuCoin.
The exchange rate of BNB to Bitcoin on different sites is slightly different. That is, in order to “catch” the best rate, you need to monitor several exchanges at once. However, every trader knows that hectic actions can cause damage no less than a fall in the course.
It is much more profitable and easier to use the services of LetsExchange. First of all, you do not need to register and verify your account. The service is available 24/7 anywhere in the world. The exchange of BNB to Bitcoin is extremely simple and fast. All you need to do is fill in the exchange widget:
- In the top field, select BNB and enter the amount of coins to sell;
- In the bottom field, select BTC to buy;
- Enter the address of your crypto wallet;
- Deposit coins.
- Click the “Exchange” button.
The search for the best deal according to the specified parameters is performed automatically and it takes a few seconds. After the exchange is completed, the coins are immediately credited to your wallet without any additional actions on your part.
Lets Exchange does not store your funds or your personal data.