Binance Coin Price Today in US Dollars – Price of BNB Live Chart

About Binance Coin

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What is Binance Coin?

Binance Coin was created in 2017 by developer Changpeng Zhao. The BNB is the first of two cryptocurrencies created by Binance. BNB or Binance Coin is a utility token created by Binance Exchange in 2017 and was initially used for discounted trading fees. 

Since its creation, the use of BNB has expanded to several locations, platforms, and functions, including paying for transaction fees on Binance Chain, Binance.com, and Binance DEX. As of writing, BNB is the fifth largest crypto by market cap (by the time of writing). 

The cryptocurrency was based on the Ethereum network, but it now serves as the native currency of Binance Chain, Binance’s very own blockchain. On May 10, 2021, Binance Coin reached an all-time high of $686.31, miles apart from its all-time low of $0.03981770 in October 2017.

BNB is traded in more than 300 trading pairs and on 120 exchanges in the world. Binance coin has several use cases and serves as a utility token within the Binance Exchange ecosystem. However, beyond Binance exchange, here are some other ways users apply Binance Coin:

• Buying of virtual gifts
• Charity donations
• Credit card payments
• Investments
• Loans and transfers
• Process payments
• Pay for travel arrangements

While most sales of BNB happen on the secondary market, traders can also buy Binance Coins on Binance’s website and other cryptocurrency platforms.

What Drives the Price Of Binance Coins?

For crypto enthusiasts keeping an eye on the very volatile digital asset market, some factors drive the price of Binance Coin. One of them is supply and demand. If you’re familiar with the simple economics of supply and demand, you should know that the price of a crypto asset like BNB or Binance Coin will fall if their supply is more than what the market wants or demands. 

But the price of BNB will increase if the supply for it is less than what the cryptocurrency market demands or are willing to buy. The total supply of BNB can also affect or drive the Binance Coin price more than you think. Binance Coin has a total supply of 200 million tokens. 

To maintain the value of Binance Coin for the years to come, keep its price stable, and control its supply, Binance cuts the supply of BNB in half regularly through a process similar to Bitcoin’s halving, until only 100 million Binance coins remain.

By doing so, Binance can manipulate the total supply of Binance and its demand to achieve positive price effects. The level of success that initial coin offerings (ICO) in Binance’s launchpads can also affect the price of BNB. 

In simple terms, if Binance helps new and popular cryptos to launch, this means BNB users now have multiple options in trading tokens and more incentives to trade. They should expect a rise in BNB price.

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