Binance coin (BNB) is a very popular and well established cryptocurrency that is among the top cryptocurrencies based on market capitalization and currently sitting third on sites like coinmarketcap. As far as cryptocurrency is concerned, binance is one of the biggest ecosystems and definitely one of the biggest exchanges in crypto. Binance as a cryptocurrency exchange has recorded tremendous increase and new highs when it comes to the total trading volumes on the Binance exchange.
One of the biggest aspects of the binance ecosystem is the Binance blockchain and the BNB. The Binance Coin (BNB) is a utility token of the binance chain and binance smart chain. One of the main utilities of BNB is that it is used to pay for transaction fees on the binance ecosystem such as the binance exchange, binance chain, binance smart chain and binance DEX, and also used to for smart contracts on binance smart chain.
BNB and Binance Smart Chain
BNB is also the utility token of the binance smart chain. The Binance smart chain (BSC) is a blockchain that is part of the binance ecosystem that runs parallel to the binance chain and has gained a tremendous massive growth and user base since it was created. Binance smart chain is comes with smart contract feature and capabilities, making the binance smart chain great and fast blockchain for developing high-performance DApps. The Binance smart chain has seen a massive rise in the DeFi space and so far there are a lot of projects and DeFi projects that are on the binance smart chain.
Use Cases of Binance Coin (BNB)
Since BNB is a utility token of the binance ecosystem that operates on the binance chain and binance smart chain, it offers a lot of uses cases and benefits;
Some Main Use Cases of BNB - BNB serves as a payment token for transaction fees when trading on the binance exchange and binance smart chain. Another main use cases of BNB is that it is used for token sales participation on Binance Launchpad. BNB can also be used for in-store payments and for paying for services on the binance ecosystem. BNB is cryptocurrency which means that it can be bought as an investment asset.
Some Main Benefits of BNB - BNB serves as a way to reduce trading fees when trading on the binance exchange. Also, since BNB operates on the binance smart chain, there is less transaction fees. Another benefit of BNB is faster transaction times. BNB is a top 3 altcoin which makes it a less risky cryptocurrency investment. BNB is also used across the binance ecosystem which is great for BNB holders. BNB is deflationary because of the burn mechanism that is put in place by binance and this helps increase the value of BNB.
Since BNB was created by Binance, it is mainly on the Binance exchange. However, BNB can also be bought or traded on other exchanges like Kucoin, FTX, Gate.io and Poloniex.