Binance Coin (BNB) is the native digital asset of the Binance ecosystem, including the exchange and the Binance Smart Chain (BSC). The BNB coin was initially launched as a utility token for use in the Binance crypto exchange but then evolved into a more versatile cryptocurrency.
The BNB was originally launched as an ERC-20 token on the Ethereum blockchain. It then migrated into the BSC, the cryptocurrency exchange’s own blockchain network. In addition to letting users pay discounted trading fees on the platform, the Binance Coin can also be used to pay transaction fees on the Binance Smart Chain as well as a payment method for purchasing goods and services online.
As of April 2022, the BNB token is the fourth largest cryptocurrency by market cap after BTC, ETH and USDT. Its utility and value have increased with the Binance ecosystem’s rising adoption among dApps, especially in the DeFi space.
Binance offers a 25% discount on trading fees for spot trading and margin trading if users pay using the BNB token. Users of the platform also enjoy a 10% discount on futures trading fees when transacting using BNB coins.
You can learn more about Binance Coin (BNB) at our KuCoin Blog.