This means that Ethereum-compatible Decentralized Finance or DeFi (a blockchain-based financial application ecosystem that runs without a central authority) apps will work with Binance Smart Chain. Using Binance Smart Chain (BSC)īinance Smart Chain is Binance’s latest blockchain compatible with Ethereum Virtual Machine (EVM). However, this may change in the next few years with the rising popularity of crypto assets in Indonesia. Many merchants and services do not offer the option to use crypto assets as a means of payment. Unfortunately, BNB coins are not necessarily valid in Indonesia. You can also use the coin to book travel accommodations (on sites like TravelbyBit, Trip.io, and ) and as payment for online services (BitTorrent, Canva, Storm). As a means of paymentīNB can be a means of payment at places like, Monetha, and HTC. Finally, you can use BNB coins to pay for in-app transaction fees on the Binance Smart Chain (BSC). In addition, you can also use BNB to invest in new coins on ICO listed through Binance’s Launchpad program. This service fee discount also applies to Binance DEX. You will get a discounted service fee if you have BNB coins when you use Binance Exchange. The first thing you can do with BNB is for trading on the Binance exchange. Taking advantage of the Binance ecosystem Source: What can you do with Binance coin? 1. In addition, numerous cross-chain protocols are now being built on Binance Smart Chain. This is possible due to BSC’s built-in capability for cross-chain transactions. So, now you can find BNB in three different forms:Īpplications made for Ethereum such as Metamask are compatible with Binance Smart Chain, meaning you can easily transact and take advantage of both chains. This makes the BEP-2 and BEP-20 tokens interchangeable and compatible with the ERC-20 standard. Then, Binance launched its own technical standard, namely BEP-2 for Binance Chain and BEP-20 for Binance Smart Chain. Compatibility with the Ethereum blockchainīNB coin operates using Ethereum’s ERC-20 technical standard. This happens because the demand for coins will continue to increase while supply will steadily decrease through the policy of coin burning. The policy of burning coins permanently is a deflationary procedure that increases the value of BNB in the long run, although in the short term it does not affect the price. Binance burn coins that are part of the 40% of coins held by the Binance team, not coins circulating in the market. The last (16th) burn occurred in July 2021 for a total of 1,296,728 BNB (390,855,150 USD), bringing the total remaining active coins to 168,137,036 BNB. BNB burning is scheduled to take place every three months until approximately 100,000,000 BNB is destroyed, which represents 50% of the total BNB ever issued. BNB itself has a limited coin supply of 200 million. Binance unique quarterly burning policyīinance has a unique policy of burning its coins on a periodic basis. So, By owning the BNB coin, you are tapping into the potential of Binance which could become one of the biggest crypto platforms in the future. Binance has the potential to rival Ethereum as a cryptocurrency service provider and service platform. In early 2021, Binance launched the Binance Smart Chain and the price of BNB rise sharply due to people seeing BSC’s huge scalability potential. As the 4th largest Crypto asset in the world, BNB has huge potential upside especially as Binance continues to expand its services. Embedded within the Binance ecosystemīNB is the native currency of all Binance platforms. The remaining 50% or 100 million BNB is released to the market through an initial coin offering ( ICO). Then, 40% or 80 million BNB is distributed to the team that built Binance. The Binance white paper explains that the initial 10% or 20 million BNB goes to the angel investors who finance Binance. Initially, The coin was created for payment within the Binance ecosystem. Taking advantage of the Binance ecosystemĬhangpeng Zhao and his team creates Binance coin and launched it in July 2017. Compatibility with the Ethereum blockchain

Binance coin vs ethereum