Binance Coin (BNB) is the native token of the Binance Exchange. It was used to fund the creation of the exchange itself through an ICO, and offers users a potentially useful range of features.
You can buy BNB on Binance using a wide range of other cryptocurrencies.
The 200 million was distributed 50/50 between the company and the public ICO.
This deflation is carried out through Binance’s purchase of 20% of the remaining public supply each quarter. The bought-back portion of coins is then burned.
The discount decreases year on year in line with the 20% bought back each year.
In the future, Binance aims to build a decentralised exchange, and BNB will be used as one of the key base assets on the site as well as the gas that’s spent while executing contracts of the decentralised BNB exchange.
If you’re a frequent Binance user and want to duck large fees – especially if you plan on making very large trades or withdrawals – you may decide it’s worth stocking up even at high prices, but remember that the discounts will decrease over time.
