What is Binance Coin or BNB?

BNB is a cryptocurrency that supports the Binance ecosystem. BNB is one of the most popular utility tokens in the world. Not only can you buy or sell BNB like any other cryptocurrency, but you can also enjoy a wide range of additional benefits.

The growth of Binance Coin is surprising in that this altcoin does not have a unique blockchain or high goal to change the world. Instead, Binance Coin is an ERC20 token, of which more than 500 have been created on the Ethereum platform.

For example, people can buy more than a hundred other cryptocurrencies with BNB tokens on Binance. The availability of these altcoins to bidders also allows them to save money. Exchange players with BNB on their books can pay a reduced fee of up to 0.05% when they buy and sell on Binance instead of the standard 0.1%.

Binance Coin's goal of serving as "fuel" to fuel the exchange looks unassuming and small-scale compared to any other token in the top 20. The contrast is particularly striking when compared to the altcoins of the ambitious EOS project, which is developing an "Earth Operating System", or to IOTA cryptocurrencies, which were created to be used to pay off hundreds of billions of machines in the Internet of Things ecosystem.

However, Binance Coin tokens have three powerful engines pushing the price up:

  • Behind them is authoritative creator Changpeng Zhao, who went from millionaire to billionaire in just six months and was dubbed the king of cryptocurrency trading by the media for it.
  • In eight months, a working business is pulling its domestic token, the Binance exchange, from an idea to the world's largest cryptocurrency exchange platform.
  • BNB is also fuelled by an aggressive marketing policy with slogans that shock many: "token holders will have their benefits taken away" and "tokens will be repurchased and burned".
How to buy Binance Coin
How to buy Binance Coin

Is it safe to invest in Binance Coin online? 

It is worth talking about the creator of BNB to have a complete and clear picture of this cryptocurrency. 

The creator of Binance and BNB, 41-year-old Chinese Changpeng Zhao, is an extraordinary person. He persevered to gain knowledge and ideas in the shadow of other exchanges and corporations, and in his forty-first year, he quickly realised his potential. In a brief time, even for the cryptocurrency industry, he created his exchange, took it to the top and became ultra-rich and famous.

Changpeng Zhao was born in China to a family of teachers but migrated to Canada at an early age. He graduated with a degree in computer science from McGill University. After his studies, Zhao moved to Japan. He worked as a programmer at the Tokyo Stock Exchange before moving to New York City, where he developed software for futures trading for Bloomberg's Tradebook agency. A talented programmer, Changpeng Zhao quickly rose through the ranks to become Bloomberg's Chief Technology Officer before 30.

But he left Bloomberg in 2005, moved back to Shanghai and joined Fusion Systems, the fastest brokerage trading systems company globally. After working there for eight years, Zhao became passionate about projects in the crypto industry. So in 2013, he became the third member of the Blockchain.info cryptocurrency wallet team, where he stayed for eight months. Zhao then worked for less than a year as a chief technical officer at cryptocurrency exchange OKCoin. And in September 2015, he founded BijieTech to develop trading systems for exchanges.

Changpeng Zhao's credible track record attracted investors when he announced his exchange with domestic tokens. During Binance's initial public offering (ICO) on 3 July 2017, his project raised an impressive $15 million worth of cryptocurrency in three minutes. About 50% of all tokens (100 million BNB) were sold at the ICO. Changpeng Zhao kept the remaining 40% of the cryptocurrencies (80 million BNB) to fund the team and reserved 10% for business angels - volunteers who helped promote the exchange. The launch of the trading platform did not take long. It took place on the eleventh day after the ICO, 14 July 2017.

As you can see, Zhao has recognised people who know about investing, so it is safe to say that this cryptocurrency is trustworthy.

How to invest in Binance Coin
How to invest in Binance Coin

Is Binance Coin a good investment?

According to cryptocurrency experts, Binance Coin is a good investment. With a market capitalisation of $41 billion, Binance Coin is currently ranked #3. Coin's market capitalisation.

Keep in mind that high trading volume means high liquidity, vital for intraday traders and scalpers.

In addition, Binance Coin, backed by a robust exchange, is a token with a real purpose: it is used to pay transaction fees and buy tokens in Initial Exchange Offerings (IEOs).

It also has various benefits and more than 120 uses, adding an extra layer of credibility and opening up some great investors' opportunities.

However, investing in Binance Coin can be risky because no high-yield asset is 100% safe. Cryptocurrencies, in particular, are very volatile and unpredictable.

This fact does not mean that investing in BNB is a bad idea. However, cryptocurrency investors who choose to add BNB to their portfolios should consider BNB's risk/return ratio and develop an effective risk management strategy.

Binance Coin trading platform
Binance Coin trading platform

Should traders invest in Binance Coin?

Binance Coin is worth considering in 2021. The truth is that the final decision is up to you.

What kind of crypto investor do you want to be? First, are you interested in the rebate rates that Binance offers to those who use BNB on its platform? Second, do you believe that Binance's burnout policy will ensure BNB's stable growth in the long term? Finally, are you interested in the trading potential of BNB? When you find the answers to these questions, you will decide whether you should invest in Binance Coin.

With its various advantages over other cryptocurrencies, Binance Coin could be a good investment for you. We should also acknowledge the success of Binance - with crypto legend Changpeng Zhao in charge - and its role in the likelihood of profits from investing in Binance Coin.

In the short term, for example, it seems that BNB will not lose its value as Binance seeks to adopt and expand globally.

At the same time, you need to remember that investing in cryptocurrency can be risky, and you can lose all your money without the possibility of a return. So be sure to invest your money responsibly. 

Before you invest, be aware that Binance Coin depends on Binance, a centralised exchange requiring your client and anti-money laundering information, and is often the target of online attacks.

Once you have weighed up the pros and cons of investing in Binance Coin to make an informed decision about BNB, remember that investing in cryptocurrency does not have to be complicated. Investing in cryptocurrency can even yield high returns.

Binance coin trading conditions
Binance coin trading conditions

Binance coin price

If you decide to buy Binance Coin, you may want to know how much it could be worth in the coming years.

While price forecasts remain speculative and depend on crypto prices, supply and demand, and market sentiment, past performance and data analysis can help investors and traders create crypto forecasts.

First of all, Binance Coin's performance is linked to that of Bitcoin and the cryptocurrency market as a whole. Over the past two years, like other cryptocurrencies, BNB has recovered from a terrible 2018 and peaked in mid-2019.

BNB hit a record high of $40 in 2019.

According to price forecasts, Binance Coin will recover from the ongoing pandemic and reach an average of $2,500 in the next four years.

How to start investing in Binance Coin (BNB) In India?

If you think Binance Coin is a good investment and want to invest in Binance Coin in India, make sure you choose a reliable broker. This step is one of the keys to successful trading. 

Register online to start investing. Signing up is a pretty quick process. First, you will need to fill in the boxes with the required information to be identified. 

How to register
How to register

Demo account

A demo account is an account that allows you to try out the features of the platform on your own, without any risk. A demo account uses virtual funds, so you do not need to use your funds when making transactions. Instead, be sure to use it to jooj up your skills if you want to buy BNB. 

How to open a demo or a real  account
How to open a demo or a real account

Real account

If you realise that it is time for real action and you want to buy Binance Coin in India, you can open a real account. To do so, make a minimum deposit in a way that is convenient for you. 

While BNB can be a lucrative investment, investing in cryptocurrency remains a risky venture, and one should analyse the reward/risk ratio for the asset they are interested in.

Many factors can affect the value of Binance Coin.

For example, the price of Binance Coin can be influenced by macro factors such as:

  • cryptocurrency prices;
  • cryptocurrency news;
  • supply and demand;
  • as well as regulations.

Here are some of the elements that can affect the price of BNB. It is essential to consider if you decide to buy BNB.

But, you know, live and learn. Enjoy the trading!

Yandex Money
The financial services provided by this website carry a high level of risk and can result in the loss of all your funds. You should never invest money that you cannot afford to lose