Binance Coin is the cryptocurrency issued by Binance exchange and trades with the BNB symbol. As ofJune 2021, Binance Exchange is that the largest cryptocurrency exchange with in the world, supporting over 1.4 million transactions per second. BNB was initially based on the Ethereum network however is now the native currency of Binance's own blockchain, the Binance chain.
Binance was created as a utility token for discounted trading fees in 2017, but its uses have expanded to various applications, including payments for transaction fees (on the BinanceChain), travel bookings, amusement, on-line services, and financial services. At the time of writing, Binance had a market cap of over $56 billion and ranks behind only Bitcoin, Ethereum, and USD Tether in terms of market cap.
Binance was founded and is led by Changpeng Zhao. Zhao joined Bloomberg in 2001 and is currently the head of Tradebook Futures Development. He worked for the organization for four years before becoming a partner at Fusion Systems.
Changpeng Zhao has been actively working with cryptocurrency and blockchain technologies since 2013. He became the head of development at Blockchain and launched BijieTech in 2015. Zhao formally created Binance in 2017, and he has served as the company's CEO ever since.
He Yi is the chief marketing officer and co-founder of Binance. In 2012, she began working as a presenter and TV anchor for China Travel TV. Yi then co-founded OKCoin, China's largest fiat-to-crypto exchange at the time. She teamed up with Changpeng Zhao in 2017, and the two of them co-founded Binance, the biggest cryptocurrency exchange in the world.
BNB was originally introduced as a utility token for the Binance exchange. It enabled customers to receive a 50% reduction on trading costs when paying with BNB (now 25%). Furthermore, traders were encouraged to purchase and keep BNB by providing further fee reductions for holding significant amounts of the coin. Soon after, Binance announced partnerships with a number of service providers to allow BNB holders to use the cryptocurrency to pay for hotels, flights, virtual gifts, and credit card payments.
The creation of the parallel blockchain into the Binance Chain ecosystem, two blockchains can run side by side to produce totally different services. The new parallel chain will be are (short as “BSC” for the below sections), whereas the prevailing mainnet remains named “Binance Chain” (short as “BC” forthe below sections).
Design principle of BSC-
1. Standalone Blockchain
2. Ethereum Compatibility
3. Staking Involved Consensus and Governance
4. Native Cross-Chain Communication
Trading: Binance Coin can be traded for other cryptocurrencies on numerous exchanges.
Transaction fees on the Binance Exchange: BNB is used to pay for transactions on the Binance Exchange, and users also get a discount for doing so.
Credit card payments: BNB can be the form of payment for crypto credit card bills.
Payment processing: Merchant scan offers BNB as a means of payment for customers, providing more flexibility in payment methods.
Booking travel arrangements: BNB can be used to book hotels and flights on select websites.
Entertainment: From paying for virtual gifts to buying lottery tickets, BNB serves several purposes in the entertainment space.
Investment: Several platforms allow investors to invest in stocks, ETFs, and other assets using Binance Coin.
Loans and transfers: BNB is used as collateral for loans on certain platforms. Also, there are apps that allow users to split bills and pay friends and family through Binance Coin.
Some of the projects running on the Binance Smart Chain are:
DATE NEWS/EVENTS IMPACT 07/06/2022 BNB prices fall as the SEC opens an investigation into Binance -27% Decrease 18/02/2021 BNB price rises as Binance Smart Chain gains popularity among DeFi users +55% Increase 04/02/2021 Binance Smart Mainnet is launched +115% Increase 24/01/2020 Binance introduces WazirX (WRX) token on its launchpad +21% Increase
BNB prices fall as the SEC opens an investigation into Binance
BNB price rises as Binance Smart Chain gains popularity among DeFi users
Binance Smart Mainnet is launched
Binance introduces WazirX (WRX) token on its launchpad
It is hard to conclude for Binance Chain, because it has never stopped evolving. The dual-chain strategy is to open the gate for users to take advantage of the trading transferring, and commerce on one side, and versatile and flexible programming on the other side, however, it'll be one stop along the development of Binance Chain.