|Circulating Supply||189,175,490 BNB|
|Max Supply||0 BNB|
About Binance Coin
The Binance coin (BNB) was created by the team behind the Binance cryptocurrency exchange in order for it to become the native currency. It would allow traders to reduce their transaction fees on the exchange when using the currency instead of any other.
BNB currently has a value of just under $11, a market cap of $1,075,717,800 and an average daily trading volume of around $92 million. This makes it among the top thirty cryptocurrencies right now – could it eventually make gains and start to challenge those higher?
What is The Binance Coin (BNB)?
The Binance Coin (BNB) is the native currency of Binance, a hugely popular cryptocurrency exchange that allows traders to perform crypto-to-crypto trades completely anonymously.
This currency was created in order to allow traders on the exchange to use it for paying all kinds of fees such as exchange fees, listing fees, withdrawal fees and any other fees that traders might experience on the platform.
Whats Special About Binance Coin (BNB)
Binance is a China-based cryptocurrency exchange, one of the largest in the country in fact. The BNB currency can be used to facilitate transactions on that exchange. Here are the benefits of owning this cryptocurrency if you are a trader on Binance:
- Massive Discounts – One main advantage is that when BNB is used to pay fees on Binance instead of other currencies, is that huge discounts can be had. In the first year, you can expect 50% off while this will decrease year on year to be 25%, 12.5% and 6.75%.
- Anonymity – Binance already offers anonymity as it does not allow trading using fiat currencies. However, this means cryptocurrencies first have to be owned before traders can use the exchange. The idea is that eventually, traders will be able to purchase BNB and use the currency on their exchange instead when buying other currencies.
- Benefits of Ethereum – As BNB is built on the technology of Ethereum, the Binance Coin reaps the benefits that Ethereum has to offer. This includes the use of smart contracts and fast transaction times.
Where to Buy Binance Coin (BNB)
Despite being among the top thirty cryptocurrency coins in terms of market cap, there are not many options when it comes to cryptocurrency exchanges that will allow you to trade it. There are just two exchanges that we know of right now that will accept the trading of this cryptocurrency and one of them is the Binance exchange itself.
Binance is the cryptocurrency exchange that BNB is the currency of, so it is little surprise to see that this is one of the cryptocurrencies that you can exchange there. This is actually a very good exchange in its own right anyway and one that is popular with traders.
EtherDelta is a cryptocurrency exchange that allows the trading of hundreds of cryptocurrencies including that of BNB. We have not tried this place ourselves so it might be worth researching a little beforehand.
We couldn’t find any other cryptocurrency exchanges that supported the trading of BNB that is likely to change in future as the coin continues to grow in value. You may even find some that we missed but ultimately, it is not as supported as many other cryptocurrencies.
Investing in Binance Coin (BNB)
We are not really sure if BNB is a cryptocurrency that is something to be invested in really. It has its uses on the Binance exchange of course, so in that scenario, it is a cryptocurrency worth having if you use their exchange often. It will allow you to offset some of the fees and therefore give you better value all around.
As an actual investment, however, we think there might be better out there right now. You might think different, however, after putting in a bit of research. The value of the coin has certainly increased since its release so it does seem to be more of a long-term investment as it will not have the huge swings of the larger currencies.
What also needs to be considered is the climate in China regarding cryptocurrencies. If they move towards claims of banning cryptocurrencies or regulating them, this could have a massive effect on the value of the currency.
Do I Need a Binance Coin Wallet?
Binance Coin like any other cryptocurrency is extremely valuable if you have enough of it and that is why it will be a target for hackers. These hackers have been known to successfully hack a number of cryptocurrency exchanges in the past and they will no doubt be able to manage it again in the future.
That is why storing your cryptocurrencies away from the exchanges is commonly thought of as being the best way to keep them safe. This can be done in wallets that have either been designed by the developers of each cryptocurrency or third-party wallets that can hold a variety of different currencies.
These will either be hard wallets, online wallets, client-based wallets or even paper wallets which each have their benefits when it comes to storing your currencies.
For the ultimate in protection, hardware-based wallets (also called hard wallets) are generally thought to be the best solution. They are not only able to keep your funds out of the wallets at the exchanges but also off the internet altogether and even off your own computer.
- Ledger Nano S
As far as hard wallets go, the Ledger nano S is easily the most popular. This is mainly down to it being cheaper than its competitors and also due to the wide range of cryptocurrencies that it supports. One of those is BNB, so this would make an excellent choice of wallet.
Trezor is another hard wallet that supports BNB and this was actually the very first hard wallet to be developed for cryptocurrencies. It is quite a bit more expensive compared to the Ledger Nano but there are still some out there that think it is worth that extra money due to having a more robust design.
Software-based wallets could be anything from online wallets to client-based wallets that require downloading. These also make a good solution for when you want to store your cryptocurrencies away from the wallets at the cryptocurrency exchanges. There are a couple of these that we know will be able to help you with storing BNB.
- MyEther Wallet
MyEther Wallet is available as web-based, mobile app or browser extension and can store a large range of ETH-based cryptocurrencies. Funds are said to be kept in cold storage which essentially means offline.
- Ethereum Mist DApp
Available to use on Windows, OSX, Android, iOS and Linux, the Ethereum Mist DApp is another wallet that can store a large variety of ETH-based cryptocurrencies. Worth checking out if you want to store BNB.
Pros & Cons
So now that you know a bit more about BNB, what do you think? A coin worth investing in for its uses on the Binance exchange or one worth investing in the hope of making profits? Here are some of the pros and cons for BNB:
- Binance has proved to be a very popular exchange
- Promising idea
- Experienced development team
- Proposed Chinese regulations could hit value hard
- Value will eventually drop after 5 years when Binance would own 50% of the coin