BNB Token

The BNB token from Binance is the newest token listed on iCE3 Exchange. iCE3 is listing the BNB token as a result of its popularity and its rapid ascent in the Top Ten list of crypto coins. This list is based on coin market cap and has been the defacto standard when evaluating the popularity of crypto coins and tokens. BNB made its debut as an ERC20 token but has since moved to its own main net.

Why are We Adding BNB Token from Binance

Binance Token is a utility token with the intended purpose to pay fees when trading on Binance but has become a trad-able asset in its own right. Binance created the token on the Ethereum Network at first, after which they swapped it to its native main net.

What is Binance Token and Where to Get It?

The BNB Token powers the Binance Ecosystem. As the native coin of Binance Chain, BNB has multiple use cases: fuelling transactions on the Chain, paying for transaction fees on Binance Exchange, making in-store payments, and many more. You can Buy, Sell or Trade the BNB token on the iCE3 exchange

How is The Token Used & How Does it Gain Value?

You can buy property, pay for services and even gain entry to VIP Nightclubs with BNB token. Furthermore, merchants can receive BNB tokens as payment. You can also use it to pay bills or buy products and services online. Many traders simply trade the token as it appreciates in value for two reasons:

  1. More people are using it, so the demand is growing. It has a fixed supply and therefore has “scarcity” as a property.
  2. Binance uses a “Token Burn” process to reduce the supply.

What Does Binance Mean When They Say They Will “Burn” BNB Tokens?

A Token Burn is to destroy a certain amount of tokens, after which that amount of tokens will be subtracted from the operator’s balance. Only the owner of a token has the permission to burn a token.

Since the launch of Binance Chain, the BNB ERC-20 tokens were gradually swapped by the native BNBs (BNB BEP-2). This means that the Coin Burn events now take place on the Binance Chain and not on the Ethereum network.

It is worth noting that all BNB ERC-20 coin burns were “replicated” on the Binance Chain, to ensure that the total supply is the same. In other words, the total 11,654,397 BNB ERC-20 tokens that were burned on the Ethereum network, were also burned on the Binance Chain, right after the mainnet launch. You can check this specific burning transaction on the Binance Chain Explorer. Also, the total supply of BNB is publicly available for anyone to see.

The current coin burn mechanism doesn’t rely on a smart contract anymore but on a specific command executed on the Binance Chain. You can find more details on the Binance Chain Docs page.

As of October 2019, Binance completed 9 BNB Coin Burn events. In total, 14,525,153 BNB coins were burned, reducing 7.26% of the Total Supply (now at 185,474,825).

binance coin burn

How to Trade BNB Tokens

You can trade Binance tokens today on iCE3 Exchange in South Africa against BTC with our BNB/BTC trading pair which you can find here. It is easy to trade Binance Coin on iCE3 as we have very deep liquidity for the BNB/BTC trading pair. If you do not have bitcoin yet, you can buy it on the BTC/ZAR market with South African Rand.

Let us know your thoughts on the Binance Token in the comments section below.

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Disclaimer Notice:

This article is intended to educate and should in no way be seen as investment advice or an enticement to use the platform. Bitcoin is highly volatile with big profit opportunities but you should also remember that you could lose part or all of your investment whenever you take part in any high risk investment. Bitcoin trading is not a regulated industry in South Africa, which in itself carries additional risks. IF YOU ARE NOT AN ASTUTE BITCOIN TRADER, SEEK INDEPENDENT FINANCIAL ADVICE BEFORE MAKING ANY INVESTMENTS.