Bitcoin is often said to be the father of crypto seeing as it is responsible for spearheading the movement. By bringing awareness to the potential of the decentralized space, other projects followed suit. One of these projects is Binance. At its core, it is mainly an exchange platform for crypto with millions of users around the world. Eventually, this institution launched its own token which is called BNB.
The original offering was on the Ethereum blockchain, but the idea was eventually discarded. Binance sought to make a name for itself and launched the token on its own blockchain network called the Binance Smart Chain or BSC. BNB proved to be very useful to Binance and the crypto-verse at large. Below we will quickly look into its uses and then how it can be bought. Click here to learn more about blockchain.
Table of Contents
Trading On the Binance Platform
Of course, the first use of this token was implemented on its platform through the BSC blockchain. It allowed users to access extremely low fees provided they use BNB. With discounts of up to 50%, it’s no wonder other coins were left for the Binance coin. Recently they updated their discount offerings, and unfortunately, it no longer goes above 25%. Nevertheless, it remains a sizable discount for crypto traders to choose BNB over other coins.
Loans and Transfers
Every day crypto projects are utilized around the world for day-to-day activities, BNB is no exception. Right now, different platforms allow you to get a loan when you Stake your Binance coin as collateral.
Investment
People invest in tons of assets around the world daily. They could range from stocks to ETFs, bonds, and so on. Most of these platforms allow you to use BNB for payment. On the other hand, you could also invest in the coin itself.
You can invest in BNB by simply purchasing it and waiting for its value to go up then resell for a profit. You see, when the Binance coin launched it was sold at 15 cents per token, now one BNB is valued at around $420. That’s a healthy profit margin for any investor.
How to Buy BNB
Now that you know the different ways this coin can be used, it is natural that you’d want to own some of it. Not to worry, below we will guide you on how to buy BNB. Ensure you read carefully.
Open a Binance Account
As expected, where else would one buy this token but from their exchange platform. To buy this coin all you have to do is set up a Binance account. Visit https://accounts.binance.com/ to learn more.
If you’re a USA resident, prepare to be subjected to stricter regulations. All residents are required to go through the KYC process and to release their driver’s license, social security number, and other information.
Residents from other countries don’t need to bother themselves with this. Registration is pretty much straightforward, and you only need to set your withdrawal method and two-factor authentication.
Get a Wallet
Once you’re done registering your Binance account, you need to decide where your coins will be kept. This decision will be influenced by your intended use of the asset. You have the option of leaving your BNB in the local BNB exchange wallet. This is suitable for frequent users who move small amounts of money frequently.
If you desire added security, you can store your token in an offsite wallet. These are a safer alternative because they come with a private key.
Buy BNB
It’s time to address how to buy Binance coin, the major focus of this write-up. Now that you have your wallets set up, all you need to do is go to the trade section. Since you are buying the coin and not a contract, we will use the spot option instead of futures. When you buy any coin, the goal is to make your purchase at a lower price. This way you ensure you’re in profit when the price rises.
There are two approaches to buying BNB. You could place a market order that will give you BNB at the current price without any delay. On the other hand, you could use a limit order. This allows you to buy the coin only when it reaches a certain limit.
Final Thoughts
Cryptocurrencies are incredibly valuable assets and Binance coin is no exception, seeing as it can be used to make transactions and also as an investment. With some countries adopting cryptos as legal tender, it is believed that the value of these digital currencies will continue to rise. This makes cryptocurrencies even more attractive to many investors.