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What Is Binance Coin (BNB)?

What is Binance Coin (BNB)? Many people lack knowledge regarding the Binance cryptocurrency despite being one of the most extensive international online digital money exchange services. Since the creation of the platform in 2017, it serves as an effective means to exchange different cryptocurrencies and pass transactions running on cyberspace. 

Binance Coin (with the BNB symbol) is the cryptocurrency announced by Binance exchange and trades. Binance Exchange is the largest cryptocurrency exchange globally as of June 2021, raising more than 1.38 million transactions/second.

In today’s article, we will discuss the Binance cryptocurrency advantages and drawbacks, analyzing the price rise and the dangers that may afflict the coin in the near future.

Let’s Begin With The Pros

Binance platform enjoys several privileges, including:

  • The cryptocurrency makes payment processes carry out without an intermediary bank. As a result, transactions are not only ultra-fast practically in real-time but also very cost-effective.
  • Every Internet user has access to their Binance wallet.
  • Manipulation and counterfeiting are almost impossible, while monetary policy has no influence.
  • Binance coin is still very limited. There are only 153,432,897 coins in circulation. As a result, the digital currency remains tight, allowing the total value to increases over time.
  • All transactions take place anonymously.

Although it is not an official means of payment, the Binance coin has de facto achieved the status of a recognized currency. So, it can be exchanged and spent on numerous trading platforms.

The Cons

What is Binance Coin (BNB)? It is an important question, but a more relevant one is, “are there any weak points that Binance digital currency has?” We answer in the affirmative because Binance cryptocurrency actually has significant flaws, as follows:

  • There is no cash; only electronic payments are possible.
  • Binance coin price is wildly fluctuating. Those who trade with such a volatile cryptocurrency always accept a high risk of loss because they know that the odds of winning are precarious.
  • Money laundering and illegal transactions are deployed.
  • Binance currency trading and mining processes require high computing capacities. That may be unavailable for many Internet users.
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BNB & BTC

Binance currency future seems bright. Experts consider the BNB cryptocurrency a milestone, stating that it can dominate the stock market in the next few years. For example, it becomes evident that the Binance platform began to pull the rug out from under the Bitcoin blockchain. Evidence of that can be found in a recent case that occurred on September 4, 2019, when an anonymous Bitcoin Whale Transferred 2000 Bitcoins and bought Binance coins instead. 

The incident was clearly attributed to a major Bitcoin trader who has recently transferred $18.6 million worth of 2,000 bitcoins, preferring to buy Binance coins, considering the Binance platform more steady and protective.

After the Bitcoin Whale accomplished such a transformational task, the market has been doing quite well. Still, some traders worried that Bitcoin whale might dump his $18.6 million tokens, forcing the cryptocurrency to descend quickly towards the edge. 

It is worth noting that Whale address has been active on the Bitcoin blockchain. There are still 4,053 coins left in the Bitcoin wallet, which reassured the traders and gave them a peace message, as the amount is quite large. That helps Bitcoin gain profits and reach $9,500. In light of the upcoming halving, scheduled for December, Bitcoin may continue to climb. 

HTC and Binance announced a limited edition EXODUS 1 smartphone. Have we answered the frequently asked question, “What is Binance Coin (BNB)?” Now let’s explore the successful partnership that combined Binance and HTC.

A Successful Partnership – BNB & HTC

Exodus smartphone was the first product of that mutual collaboration. The smartphone is regarded as a special version, enabling Binance platform traders to perform their financial duties, using tools specially designated for money transfers and transactions.

The HTC Exodus 1 smartphone has been integrated with Binance Chain, a blockchain system initially developed by the Binance platform and community. In addition, the smartphone provides online assistance, which traders can benefit from when they utilize the services of Binance DEX, a decentralized exchange powered by the Binance Chain.

The Exodus 1 device includes a 6-inch display Quad HD + (2880 × 1440 pixels), an eight-core Qualcomm Snapdragon 845 processor, 6 GB of RAM, and a flash drive with a capacity of 128 GB. At the front of the mobile, there is a dual camera with a pair of 8-megapixel sensors.

The smartphone is Water and Dust-resistant. It costs $599 in the United States of America, while, in Europe, the device costs 649 euros.

Binance Cryptocurrency exchange lost $40 million after the hacker attack. Binance blockchain lost $40 million (7,000 bitcoins) as a result of a hacker attack. That clearly occurred due to a “major security flaw.” Hackers were able to gain access to a “hot wallet” that held about 2% of all Binance cryptocurrency reserves; however, the Binance administration stated that there is no need to worry since losses will be covered from a special reserve fund.

Currently, the blockchain has terminated the process. Binance network managed to replenish wallets and withdraw funds. The exchange will be fully operational in about a week when a full-scale security check is completed and after the preliminary investigations come to an end. 

At the same time, all users will be able to conduct trading operations. Some accounts are still under hacking control. Hackers can use these accounts to influence the overall price change and negatively damage the exchange’s credibility. After all, the Binance network emphasized that most transactions are going so well, and hacked accounts will be immediately restored.

It is worth noting that such hacking is not the first major cryptocurrency scandal. For example, Gerald Cotten, the co-founder of the QuadrigaCX cryptocurrency exchange, has recently accessed its financial accounts and seized its credits. As an expected result, creditors and users have suffered significant losses.

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Binance Coin Burning

Although 100 million BNB tokens were originally offered in the ICO, the total supply now is lower than the beginning. Binance uses 1/5 of its earnings to rebuy the token and destroy them permanently or “burn” BNB they keep every quarter.

Binance has always done these burning cases. The latest Binance burn came on this year on April 15, 2021, when Binance burned a total of 1 million BNB, equivalent to almost $595 million worth of BNB tokens making it the BNB’s 15th quarterly Binance burn and the most significant ever in terms of U.S. dollars. Accordingly, the total supply of Binance tokens has reduced from 170 million to 169 million BNB tokens.

What Is (BNB) Used For?

Away from the Binance exchange, BNB has various uses, including the ability to:

  • Make loans and transfers
  • Process payments
  • Make credit card payments
  • Buy virtual gifts
  • Make investments
  • Donate to charity
  • Pay for travel arrangements (on select websites)

What Is Binance Coin (BNB)? Final Thoughts

What is Binance Coin (BNB)? We have known much information on the Binance cryptocurrency, and we have also recognized its platform activities and practices, but is that merely sufficient? Of course, not.

We realized that Binance cryptocurrency is fascinating, as it offers you blue sky opportunities, which you could not have dreamt of. However, be careful. Anyone who wants to get involved in cryptocurrencies should obtain detailed data beforehand to assess the risks and threats correctly.

We only give you a brief overview, but if you want to buy the coin and trade, you ought to participate in official events, which can help you possess sound basic knowledge.

Investing in stocks, cryptocurrencies, and other Initial Coin Offerings (“ICOs”) is highly risky and speculative. This article is not a recommendation by iCryptoApe or the writer to invest in stocks, cryptocurrencies, or other ICOs. Because each person or individual’s circumstances are unique, therefore, a qualified professional and/or a financial advisor should always be consulted before making any financial decisions and/or trading or buying stocks, cryptocurrencies, or other ICOs. iCryptoApe makes no representations or guarantees as to the accuracy or timeliness of the information included within.

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