Do you have any Binance Coins? What do you use them for? If you are a client of this platform, you are likely to buy them to get an extra discount on trading fees. But you can also invest in it on a long-term basis or just earn from its price fluctuations.
Binance (in short ― BNB) is a token issued by the similarly-named blockchain network. It performs a set of diversified functions within the network:
- participation in token sales;
- boosting the network;
- serving as a payment means for trades;
- providing owners with extra discounts on the services provided by the exchange (within its VIP program);
- offering an opportunity to contribute to charity programs organized by the company.
Thus, it is bought and held by the clients of this company in the first place. Yet, if you consider that, as of now, it is the most commonly used and intensely growing crypto exchange, you will understand that the popularity of this asset is likely to continue increasing in the near future and propel its value and liquidity.
Let us mention the advantages and disadvantages of this crypto so that you can form your own Binance coin price prediction.
- the most frequently used utility token;
- a discount tool for the clients of the exchange;
- it is kept stable and continuously growing due to the burndown procedures;
- as of now, this crypto exchange is the biggest on the market;
- due to huge investments in technology, this crypto trading platform has the potential to beat Ethereum.
- unlike other cryptocurrencies, it is centralized;
- certain governmental and financial regulators make attempts to close the company;
- this network is frequently attacked by hackers, due to its influential position (yet, no one has managed to break into its security system so far);
- its prospects depend on the demand for this technology.
In sum, expert forecasts about this coin are rather optimistic. So, if you are interested in crypto trading, we would definitely recommend including BNB in your portfolio. Still, keep in mind that crypto is an asset characterized by high volatility and associated with significant risks so do not put into it more than you are ready to lose. And the latest prompt ― it is better to buy this coin on Binance as it is its native network, which provides extra benefits to its users. But you can also turn to Webull, eToro, KuCoin, TrustWallet, or Crypto.com.