What is Binance Coin (BNB)? Everything You Need to Know About BNB

2025-01-26, 08:41

Introduction

Want to know about Binance Coin (BNB)? Binance Coin (BNB) is a cryptocurrency issued by the cryptocurrency exchange Binance. It was launched on the Ethereum network in 2017 and later migrated to Binance Smart Chain. This article will give you a detailed introduction to what Binance Coin (BNB) is, what the Binance Coin (BNB) token economics is like, where you can buy BNB, etc.

Trade BNB now: https://www.gate.io/trade/BNB_USDT

What is Binance Coin (BNB)?

Binance Coin (BNB) is the native token issued by the cryptocurrency exchange Binance. BNB was originally launched as an ERC-20 token on the Ethereum network in 2017 and later migrated to Binance Smart Chain. BNB is a versatile utility token that plays a core role in its blockchain network. As of 12:00 on January 26, 2025, BNB is currently priced at $689.78 and ranks sixth in market capitalization.

BNB’s token economics has the following features:

Fixed Supply:

The total supply of BNB is 168 million.

Token Destruction Mechanism:

Binance uses part of its profits to buy back and destroy BNB.
The goal is to eventually destroy 50% of the total supply, or 84 million BNB.

Use cases and utility:

Transaction fee discounts
Pay gas fees for transactions on Binance Smart Chain
Various applications in the Binance eco

Cross-chain functionality:

BNB can be used on multiple blockchains, including Binance Chain (BC), Binance Smart Chain (BSC), and Ethereum.
This increases BNB’s liquidity and use cases.

Learn more about BNB data: https://www.gate.io/price/bnb-bnb?fiat=usd

Where can I buy BNB?

The steps to buy BNB on Gate.io are as follows:

1.Registration and verification:
-First you need to register a Gate.io account
-Complete identity verification (KYC)

2.Funds deposit:
-Deposit funds into your Gate.io account. You can deposit fiat currency (such as US dollars) or other cryptocurrencies.

3.Find the spot trading page:
-Find “Spot Trading” in the top menu of the website-Search for “BNB” or directly click https://www.gate.io/trade/BNB_USDT

4.Buy BNB:
-In the Buy area, select “Market Order” or “Limit Order”.
-Market Order: Simply enter the amount of BNB you want to buy or the amount of USDT you want to spend.
-Limit Order: Set the price you are willing to pay for each BNB, and the amount you want to buy.

5.Confirm and ute the transaction:
-Double-check the order details.
-Click the “Buy BNB“ button to ute the transaction.

Things you need to pay attention to when trading cryptocurrencies:

-Make sure you understand the transaction fees.
-Prices may change rapidly, especially when using market orders.
-Enable two-factor authentication to ensure account security
-Please fully understand the risks before investing and do not invest more than you can afford.

Finally, the cryptocurrency market is very volatile, so please operate with caution and do a good job of risk management. If you are a newbie, it is recommended to start with small transactions to familiarize yourself with the platform operations and market dynamics.

What impact does Binance Smart Chain have on Binance Coin (BNB)?

The launch of Binance Smart Chain is an important milestone in the development of the Binance Coin (BNB) eco. BSC is an independent blockchain, but runs in parallel with Binance Chain. It is designed to be a high-performance, low-cost smart contract platform to support the development and operation of decentralized applications (DApps).

BSC is crucial to the development of BNB, mainly in the following aspects:

· Expanding the use of BNB: BSC makes BNB a fuel token that supports smart contracts and DApps.

· Improving transaction speed and reducing costs: BSC has an average block time of 3 seconds, which makes BNB a more attractive trading and payment option.

· Promote the development of DeFi eco: A large number of DeFi projects have emerged on BSC, such as PancakeSwap, Venus, etc.

· Increase the demand for BNB: As the number of DApps and users on BSC increases, the demand for BNB also increases.

Conclusion

Binance Coin (BNB), as the core of Binance Chain, shows strong versatility. The launch of Binance Smart Chain has opened up new application scenarios for Binance Coin (BNB) and promoted the vigorous development of the DeFi eco. With the continuous expansion of the blockchain eco, the future development of BNB is worth looking forward to.

Risk warning: The cryptocurrency market is volatile, and changes in regulatory policies may affect the value and application scenarios of BNB. Investment should be cautious.

Author: JJM, Gate.io researcher

*This article only represents the author’s views and does not constitute any trading advice. Investment is risky and decisions should be made with caution.

*The content of this article is original and the copyright belongs to Gate.io. If you need to reprint it, please indicate the author and source, otherwise legal responsibility will be pursued.