Binance Coin (BNB) is the native cryptocurrency of the Binance ecosystem, the world's largest cryptocurrency exchange by trading volume. Originally launched as an ERC-20 token on Ethereum in 2017, BNB later migrated to its own blockchain, BNB Chain.
Use Cases
Trading Fee Discounts: BNB holders receive reduced trading fees on the Binance exchange.
Gas Token: BNB is used to pay transaction fees on BNB Chain (formerly Binance Smart Chain), one of the most active blockchains for DeFi and dApps.
Launchpad: BNB is required to participate in Binance Launchpad token sales.
Payments: Accepted by various merchants and travel booking platforms.
Token Burns
Binance conducts quarterly BNB burns, permanently removing tokens from circulation based on trading volume. The goal is to reduce the total supply from the original 200 million to 100 million BNB, creating deflationary pressure.
BNB Chain
BNB Chain is an EVM-compatible blockchain known for fast, low-cost transactions. It hosts a large ecosystem of DeFi protocols, NFT marketplaces, and gaming applications, with PancakeSwap as its leading DEX.