Binance Coin

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Binance Coin (BNB)

Binance Coin is a cryptocurrency created on the Ethereum platform for the purpose of conducting internal financial transactions by the Binance cryptocurrency exchange. You can buy absolutely any cryptocurrency for BNB on the trading platform. When using Binance Coin in its work, the exchange provides its clients with bonuses, in particular, a reduced commission rate for financial transactions. In addition, BNB is accepted as a payment method by most online trading resources.

BNB cryptographic money has a restricted outflow. Likewise, the makers of electronic cash are continually pulling out a specific piece of the currency from dissemination. This factor is the way into a steady expansion in the worth of BNB. This is accomplished, above all else, because of the way that the worth of the reused crypto is equally disseminated among the coins staying available for use, individually, their cost increments.

BNB can be bought on the Binance trade for any genuine or cryptographic money, just as on the EtherDelta stage for Ethereum. Over the previous year, BNB designers have gone into various long haul participation concurrences with huge venture assets and resource the executives organizations, which decidedly influenced the condition of the cryptographic money conversion scale.

BNB

Binance Coin History

Binance Coin was delivered in 2017. The framework was created by the organizer of the Binance trade, the Chinese developer Changpeng Zhao. The aggregate sum of digital money given is 200 million tokens. By the choice of the makers of the coins, just 50% of the tokens were placed into flow, the trade held the option to discard the excess tokens.

At the time of issue, the cost of one token was 2,701 BNB for 1 ETH or 20,000 BNB for 1 BTC. Initially, the BNB developers presented the following currency distribution scheme:

  • 50% of the total remain in the ownership of the creators of the cryptocurrency;
  • 35% should be used to finalize and update the technical details of the cryptocurrency exchange;
  • 15% is the reserve fund, the use of these tokens is permissible only in an emergency.

In 2019, the platform started to work as an autonomous blockchain, after which the framework changed from the ERC-20 norm to the further developed BEP2 standard, the trading of coins utilizing the old standard occurred in a programmed way.

At first, BNB must be bought with US dollars, yuan, and a few of the most famous digital forms of money. With the developing prominence of digital tokens, the administration of the trade chose to attach BNB to the most well known world monetary forms, specifically the euro and the Russian ruble.

At the moment, Binance is one of the largest cryptocurrency exchanges in the world in terms of trading volume per day and the number of active users

Cryptocurrency Rate

Binance Coin is considered one of the most promising decentralized money. Since its introduction into circulation, it has brought developers a net profit of 450% of the funds initially invested in it.

A particularly intense growth in the BNB rate was observed in 2018, at that time the decentralized currency showed the highest growth rate in comparison with most decentralized currency.History BNB

At the beginning of 2020, the value of one BNB was $ 39 for 12 months, it grew to $ 108. The upward trend in the exchange rate remains at a consistently high level.

There are several main factors that influence the token price:

  • The global world situation in the cryptocurrency market;
  • Stable work of the Binance exchange;
  • Changes in the exchange rate of the world's leading cryptocurrencies, in particular Ethereum, to which BNB is tied.

Despite the fact that the platform's famous token is narrowly available, the interest of investors in it is steadily increasing. Investment processes began to take place especially actively during the crisis caused by the global pandemic. Unlike Bitcoin and a number of other expensive cryptocurrencies, which have lost up to 70% of their value, BNB has demonstrated the strength of its positions. The course correction was insignificant (less than 20%), the lost positions were restored as soon as possible. This happened due to the fact that many holders of cryptocurrencies, which have significantly lost in their value, in the conditions of general panic, hastened to transfer their assets to more reliable coins.

Is It Worth to Invest in Binance Coin?

Based on the fact that Binance Coin has been demonstrating the stability of its position in the market lately, experts in the field of digital money investments agree that BNB is the optimal long-term investment project. Despite the positive outlook, cryptocurrency investing carries high risks. Therefore, before investing in electronic coins, a potential investor should study the advantages and disadvantages of the system.

Benefits of investing in BNB:

  • High speed of operations;
  • Availability of purchase. The initial investment is $ 10;
  • Low commission rate (no more than 2% for any operation);
  • Open policy of the developer company. The user can track the state of his investment at any time;
  • Simplicity and anonymity of the organization of the workflow.

Among the significant disadvantages are:

  • Tight linking of the cryptocurrency to the Binance exchange. In case of difficulties in the operation of the exchange, the Binance Coin rate will automatically lose its positions;
  • Insufficient distribution of BNB as a means of payment among large financial institutions;
  • The demand for Binance Coin provokes a rapid rise in the rate. In the event of a decrease in the popularity of digital money, a sharp correction of its value may occur.

For each transaction, Binance exchange takes a commission of 0.1%. While other exchanges charge 0.2% or more

Cryptocurrency Prospects

Until now, the dynamic development of the currency’s rate makes it conceivable to reach an inference about the unwavering quality of work with this framework. In view of the investigation of information for the whole time of BNB's essence in the digital money market, we can unhesitatingly talk about its dependability affected by different negative variables. Today, the dynamic development of the BNB rate permits us to close about the dependability of work with this framework. In light of the examination of information for the whole time of BNB's quality in the digital money market, we can talk with a serious level of certainty about its dependability affected by different negative components.

Cryptocurrency Prospects

Experts predict the highest Binance Coin value by mid-2022. By this time, a complete recovery of the financial market is expected after the consequences of the global pandemic, which will allow investors to more actively invest their funds in a promising digital asset.

This factor allows us to consider this decentralized currency as a medium-term, and, ideally, a long-term investment project. By purchasing electronic coins during the period of their relatively low cost, in the future they can be sold at a higher price. Restrictions on their turnover on the exchange play an important role in shaping BNB's pricing policy. The lack of the possibility of mining has a positive effect on the strengthening of the digital currency rate.

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