In this guide, we’re going to cover one of the most famous exchange currencies out there that actually has one of the highest market caps in the world. Binance Corp. is one of the world’s largest exchanges for cryptocurrency and altcoins, and when it started to grow its resources, it knew it had to create its own blockchain in order to help with trade and exchanges. They’ve utilized their own coin known as the Binance Coin (a.k.a. BNB) and now just two years later it is one of the top cryptocurrencies in the world. In this guide, we’re going to tell you a little bit about it.
Check out this article to get a full Binance review.
When Binance launched, they created their own ICO and therefore they decided to build their own altcoin that was loosely based on Ethereum. Because Ethereum is such a high market cap, they were able to build its blockchain with a total of 200 million Binance coins.
What Are Some of the Uses?
Most people have actually been known to pay their fees on the Binance exchange with these coins, because when you pay fees in BNB you get discounts the longer, you’re on the market and are paying the fees of the exchange with their own currency. After the fifth year of being a member of their exchange and paying the fees, you no longer have to pay any fees when you use their own cryptocurrency to pay for your services.
Over time, the BNB token is expected to decrease, and over the years, the total supply of BNB available has dropped from two hundred million down to one hundred million to help keep the costs pretty stable for the currency. Other things that some people do with their BNB tokens is that they invest it in other initial coin offerings (ICO) on the exchange, and once the ICO is done, they get listed on the exchange creating a marketplace that never changes and flows smoothly throughout the entire change process.
Is There Hope for External Exchange?
While there is hope that eventually, the BNB will do more with the exchange, the main purpose of it is to be able to help them continuously keep and maintain their own revenue stream, and it’s entirely valued in their own exchange service of BTC to BNB. By doing so, it’s a very practical altcoin that has a very good chance of becoming a valid asset.
Conclusion
With their own localized decentralized currency, Binance has definitely created one of the most successful internal cryptocurrencies for their exchange compared to almost any other group out there. With all of the shady things that happen with Bitcoin and other currencies, there have never been any actual breaches to their own coin that allow users to be more secure. At the same time, offering a system that allows you to pay for your services with their own token is the best way to achieve a free membership for the exchange while still keeping it afloat.
