What is BNB

A simple, secure way to own digital assets such as Bitcoin, Ethereum and more, Binance allows you to now manage and invest in digital assets in one simple mobile app. Since its inception, Binance has been at the forefront of the digital asset revolution and is one of the largest and oldest digital asset exchanges in the world. Tens of millions of users around the world trust Binance to trade digital assets. Whether you are a beginner in digital assets or a professional trader, Binance official website allows you to chart your own strategic route, thanks to Binance’s excellent service, convenient tools, low fees, versatile trading options and strict security standard.

What is BNB ? It can be said that Binance has emerged as a leading digital asset trading platform, and the launch of BNB has played a key role. Now BNB has become the cornerstone of the digital asset ecosystem. First launched as an ERC-20 token in July 2017, BNB’s origins are as old as Binance’s history. The issuance of the token was promoted through ICO. During the fundraising stage, 100 million BNB tokens were publicly sold at a token price of US$0.11. In the end, the ICO successfully raised US$15 million, with funds mainly raised through BTC and ETH.

The allocation of funds raised from the ICO is also quite balanced: 35% is used for technical upgrades of the Binance platform, 50% is used for operations, and the remaining 15% is used as reserves. , just days after the ICO, Binance launched the binance trading platform, marking the beginning of an important milestone. By 2019, Binance launched Binance Chain. With this development, BNB, previously based on Ethereum, has undergone a rebirth, transitioning to Binance Chain as its native BNB token via a token swap. The BNB chain proves Binance's technical capabilities and consists of the BNB beacon chain responsible for network governance and the BNB smart chain responsible for smart contract functions.

Binance Coin can be used as a payment medium. Users can use this utility token to deduct handling fees on Binance transactions and participate in token sales on the digital issuance platform LaunchPad. Binance Coin is also the primary token of the Binance decentralized exchange DEX.

Is Binance Coin mineable?

No, unlike digital assets that use the Proof of Work (POW) mechanism, Binance Chain uses the Byzantine Fault Tolerance (BFT) consensus algorithm mechanism, so it cannot be mined. Instead, validators earn money by validating blocks to secure the network.

What is BNB Burn

Before BNB is migrated to Binance Chain, tokens are burned on the Ethereum network through a smart contract burning function. The number of tokens burned by Binance depends on the exchange’s trading volume over the past three months. Since the launch of Binance Chain, BNB is no longer burned on the Ethereum network. A special command for Binance Chain is now used to destroy tokens instead of the previous smart contract method.

That’s all about what BNB is, and as BNB continues to strengthen its position in the digital payments space, platforms like Plisio play a key role in its wider acceptance and integration. Their comprehensive range of products and tools not only enhances the BNB experience, but also sets new standards for trading digital assets.