What is BNB Coin?

BNB (short for "Build and Build") is the native cryptocurrency of the Binance ecosystem, which includes the Binance Exchange, one of the largest and most popular cryptocurrency trading platforms in the world. BNB was launched in 2017 as an ERC-20 token on the Ethereum blockchain but later migrated to Binance’s own blockchain, Binance Chain, and then to Binance Smart Chain (now BNB Smart Chain).

Purpose of BNB

Originally, BNB was created to provide users with a way to reduce trading fees on the Binance Exchange. Over time, its utility has expanded significantly. Today, BNB can be used for various purposes including paying transaction fees on Binance Smart Chain, purchasing goods and services, participating in token sales, and more.

BNB Smart Chain

BNB Smart Chain is a blockchain network built for running smart contract-based applications. It is known for its low transaction fees and fast processing times. BNB plays a crucial role in this ecosystem by being used to pay for gas fees when executing smart contracts and making transfers.

Tokenomics

BNB has a limited supply. The initial total supply was 200 million tokens, but Binance implements a quarterly "burn" mechanism that permanently removes a portion of BNB from circulation. This is designed to reduce the supply over time and potentially increase its value.

Use Cases

• Trading fee discounts on Binance Exchange
• Transaction fees on BNB Smart Chain
• Booking travel services
• Online shopping and payments
• Participation in token sales on Binance Launchpad

Conclusion

BNB is a versatile and widely adopted cryptocurrency that supports the broader Binance ecosystem. Its evolving utility and integration across multiple platforms make it an important asset in the cryptocurrency space.