How To Buy Binance Coin (BNB)?
A common question you often see on social media from crypto beginners is “Where can I buy Binance Coin?” Well, you’ll be happy to hear it is actually quite a simple and straightforward process.
Step 1: Create an account on an exchange that supports Binance Coin (BNB)
First, you will need to open an account on a cryptocurrency exchange that supports Binance Coin (BNB).
We recommend the following based on functionality, reputation, security, support and fees:
Fees (Maker/Taker) 0.075%*-0.1%*
Available for Trade 500+
10% reduced trading fees*
Europe, Asia, Oceania, Africa
Fees (Maker/Taker) 0.020%*-0.070%*
Available for Trade 200+
5% reduced trading fees*
Europe, Asia, Oceania, Africa
In order to sign up, you will need to enter some basic information, such as your email address, password, full name and, in some cases, you might also be asked for a phone number or address.
Note: On specific exchanges, you might need to complete a Know Your Customer (KYC) procedure in order to be able to purchase cryptocurrency. This is most commonly the case with licensed and regulated exchanges.
Step 2: Deposit funds into your account
Many cryptocurrency exchanges will allow you to purchase Binance Coin (BNB) with fiat currencies, such as EUR, USD, AUD and others. Furthermore, they will also provide you with multiple deposit methods through which you can fund your fiat account, such as credit and debit cards, ewallets or direct bank transfers.
Note: Some payment methods will have higher fees than others, such as credit card payments. Before funding your fiat account on your chosen exchange, make sure to do your due diligence to find out the fees involved with each payment method to avoid unnecessary costs.
Step 3: Buy Binance Coin (BNB)
This process is similar across almost every cryptocurrency exchange. All you have to do is find a navigation bar or a search bar, and search for Binance Coin (BNB) or Binance Coin (BNB) trading pairs. Look for the section that will allow you to buy Binance Coin (BNB), and enter the amount of the cryptocurrency that you want to spend for Binance Coin (BNB) or the amount of fiat currency that you want to spend towards buying Binance Coin (BNB). The exchange will then calculate the equivalent amount of Binance Coin (BNB) based on the current market rate.
Note: Make sure to always double-check your transaction details, such as the amount of Binance Coin (BNB) you will be buying as well as the total cost of the purchase before you end up confirming the transaction. Furthermore, many cryptocurrency exchanges will offer you their own proprietary software wallet where you will be storing your cryptocurrencies; however, you can create your own individual software wallet, or purchase a hardware wallet for the highest level of protection.
How to create a Binance account
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Step 1: Go to the Binance website.
Step 2: On the registration page, enter your email address, and create a password for your account.
Then, read and agree to the Terms of Service and click “Create Account”.
Note: Your password must be a combination of numbers and letters.
It should contain at least 8 characters, one UPPER CASE letter, and one number.
Step 3: Complete the Security Verification.
Step 4: The system will send a verification code to your email. The verification code is valid for 30 minutes. If you can’t find the email in your inbox, check your other mail folders as well, or click “Resend Email” to resend.
How to complete KYC (ID Verification) on Binance
Step 1: Log in to your Binance account and click “User Center” and then “Identification”.
Step 2: click “Start Now” to verify your account.
Step 3: Select your country of residence.
Ensure that your country of residence is consistent with your ID documents.
Step 5: Enter your personal information and click “Continue.”
You won’t be able to change it once confirmed.
Refer to the respective options offered for your country.
Step 7: Follow the instructions to upload photos of your document. Your photos should clearly show the full ID document.
Do not wear hats, glasses, or use filters, and make sure that the lighting is sufficient.
Once your application has been verified, you will receive an email notification.
How to buy cryptocurrency on Binance
Step 1: Log in to your Binance account and click “Buy Crypto” and then “Credit/Debit Card”.
Step 2: Here you can choose to buy crypto with different fiat currencies. Enter the fiat amount you want to spend and the system will automatically display the amount of crypto you can get. When you have selected the amount you wish to spend then press “Continue”.
Note: You might not be able to purchase every cryptocurrency directly using fiat, if you’re looking to purchase something that isn’t offered in the currency list on this page, then you will want to purchase USDT. We will then show you how to exchange that on the spot-market for the cryptocurrency that you want in the next section of this guide.
Step 3: Click “Add New Card”. Then enter your credit card details and your billing address.
Step 4: Check the payment details and confirm your order within 1 minute. After 1 minute, the price and the amount of crypto you will get will be recalculated. You can click “Refresh” to see the latest market price. You will then be redirected to your bank’s OTP Transaction Page. Follow the on-screen instructions to verify the payment.
How to Conduct Spot Trading on Binance
Step 1: Log in to your Binance account.
Click on “Classic” under “Trade” on the top navigation bar.
Step 2: Search and enter the cryptocurrency you want to trade.
Step 3: Set buying/selling prices and buying/selling amount (or exchange total). Then click on “Buy”/”Sell”.
(Note: The percentages under the “Amount” box refer to percentages of the total account balance.)
Step 4: If you don’t want to set a manual price, you can place a “Market Order” to set the buying/selling price automatically.
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For more in-depth instructions, our ‘Absolute Beginner’s Guide To Cryptocurrency Investing‘ will take you through the process step-by step. In addition to providing instructions for sending and receiving your cryptocurrency.
And if you’re completely new to crypto our beginner, intermediate and advanced level articles will get you up to speed with everything you need to know about the cryptocurrency space starting out.
What is Binance Coin (BNB)?
First and foremost, Binance Coin (BNB) represents your stake in Binance itself. If you believe that the company is poised to grow even further, this will be reflected in the BNB’s price, allowing you to sell it later for a much higher price than when you bought it.
Outside of that, BNB is just like all other cryptocurrencies on other blockchains. You can exchange BNB for any other token available on the Binance exchange. Furthermore, the company incentivizes you to hold BNB because it gives you a discount when you pay your transfer/exchange fees in BNB instead of other currencies.
Traders can use the token to pay fees on the platform, and developers can use it to power applications, like smart contracts, on the Binance Smart Chain (BSC).
After the launch of their own blockchains, Binance Chain in 2019 and Binance Smart Chain in 2020, BNB now has an additional, fundamentally different use case as gas token. Like Ether for Ethereum, BNB is now the native asset of two interlinked blockchains and has to be spent for every transaction made on these blockchains. Consequently, its price is now in large parts dependent on the success of these underlying blockchains.
Especially the launch of the Binance Smart Chain (BSC) in April 2020, which allowed for smart contract functionality similar to that of the Ethereum blockchain, proved to be an enormous success. Since fees for DeFi applications on Ethereum grew significantly higher than on the Binance Smart Chain, many new DeFi projects launched on BSC. In just a year’s time, BSC had overtaken Ethereum in terms of daily transactions by a magnitude of 5x-10x
Main Features of BNB
Pay for trading fees on the Binance exchange
Pay for trading fees on Binance DEX (Decentralized Exchange)
Pay for transaction fees on the Binance Chain
Pay for transaction fees on the Binance Smart Chain
Pay for goods and services for both online and in-store purchases (e.g., using Binance Card or Binance Pay)
Book hotels, flights and more at Travala.com
Community utility token on the Binance Smart Chain ecosystem (such as games and DApps)
Participate in token sales hosted on the Binance Launchpad
Donate on Binance Charity
Provide liquidity on Binance Liquid Swap.
BNB BEP-2 on the Binance Chain.
BNB BEP-20 on the Binance Smart Chain.
BNB ERC-20 on the Ethereum network.
Who Are the Founders of Binance Coin?
Changpeng Zhao is the founder and CEO of Binance. In 2001, Zhao joined Bloomberg as head of tradebook futures development. He spent four years with the company and later joined Fusion Systems as a partner.
Since 2013, Changpeng Zhao has been actively involved with blockchain technology and cryptocurrencies. He became head of development at Blockchain.com, and in 2015 he founded BijieTech. In 2017, Zhao officially launched Binance, and he has been the CEO of the company ever since.
What is the BNB Burn?
Binance uses 20% of its income each quarter to purchase back and burn Binance Coins, burning them, as stated in the whitepaper. Binance has continuously done quarterly burns since the inception of the chain and token.
Binance will continue to burn currencies every quarter until it has purchased and destroyed 100 million Binance tokens, or half of the total supply. The practice ensures that the supply of Binance Coin remains finite, making it scarce and more valuable.
BNB additionally uses a real-time burning mechanism based on gas fees. A fixed ratio of the gas fee collected is burned in each block, with the ratio decided by BSC validators.
You can learn more about BNB burns at https://www.bnbburn.info/.
BINANCE CHAIN VS. BINANCE SMART CHAIN
to avoid confusion when handling BNB, we are going to take a look at the basic differences between Binance Chain and Binance Smart Chain. BNB can be sent, received and stored on both blockchains. But why are there two chains and what distinguishes them?
The Binance Chain was launched to run and transact the Binance Coin. The design is optimized for fast transactions on the Binance Decentralized Exchange and to create digital assets. In order to meet these requirements, the structure of the Binance Chain was configured in a highly specific way, only allowing for limited smart contract functionality. Binance Chain uses the BEP2 token standard.
The Binance Smart Chain (BSC) was built for smart contracts, decentralized applications and cryptocurrencies. It runs parallel with the Binance Chain, but is not considered a second layer solution or sidechain, as it can operate independently from the Binance Chain. It is Ethereum Virtual Machine (EVM) compatible, which allows for a simple migration of Ethereum projects onto BSC. BSC uses the BEP20 token standard.
When transferring BNB from the Binance exchange, a user has the option to send it over the Binance Chain (BEP2) or the Binance Smart Chain (BEP20). Depending on which blockchain the recipient’s wallet is, users either have to send it to a Binance Chain address or a Binance Smart Chain address.
To help users distinguish between the two blockchains, they use a slightly different logo. Binance Chain uses a white icon over a yellow circle, while Binance Smart Chain uses a yellow icon over a black circle. To avoid confusion, which worst case could result in a loss of funds, it is strongly recommended to double-check the blockchain and recipient address before transferring BNB coins.
Official website: https://www.binance.com/
Best cryptocurrency wallet for Binance Coin (BNB)
There are plenty of different crypto wallets available. The best one for you depends on your general trading habits and which provides the most security in your situation. There are two main types of wallets: hot storage wallets (digital) and cold storage or hardware wallets (physical). Both have their pros and cons, and there is not necessarily a right or wrong answer when it comes to figuring out which crypto wallet is best for you.
HOW DO I DECIDE WHICH cryptocurrency WALLET TO USE for Binance Coin (BNB)?
Deciding which type of wallet to use depends on a variety of factors, including:
- How often you trade. In general, hot wallets are better for more active cryptocurrency traders. Quick login ability means you are only a few clicks and taps away from buying and selling crypto. Cold wallets are better suited for those looking to make less frequent trades.
- What you want to trade. As mentioned earlier, not all wallets support all types of cryptocurrencies. However, some of the best crypto wallets have the power to trade hundreds of different currencies, providing more of a one-size-fits-all experience.
- Your peace of mind. For those worried about hacking, having a physical cold wallet stored in a safe deposit box at the bank or somewhere at home, provides the safest, most secure option. Others might be confident in their ability to keep their hot wallets secure.
- How much it costs. It is important to investigate the costs associated with each wallet. Many hot wallets will be free to set up. Meanwhile, cold wallets, like any piece of hardware, will cost money to purchase.
- What it can do. While the basics of each cryptocurrency wallet are the same, additional features can help set them apart. This is especially true of hot wallets, many of which come with advanced reporting features, insights into the crypto market, the ability to convert cryptocurrencies and more. Security features can also be a good differentiator.
For a more in-depth overview of cryptocurrency wallets visit our “Cryptocurrency Wallets Explained” guide.
Ledger manufactures cold storage wallets designed for users who want increased security. Their wallets are a physical device that connects to your computer. Only when the device is connected can you send your cryptocurrency from it. Ledger offers a variety of products, such as the Ledger Nano S and the Ledger Nano X (a bluetooth connected hardware wallet).
Trezor is a pioneering hardware wallet company. The combination of world-class security with an intuitive interface and compatibility with other desktop wallets, makes it ideal for beginners and experts alike. The company has gained a lot of the Bitcoin community’s respect over the years. Trezor offers two main models – The Trezor One and Trezor Model T (which has a built in touch screen).
Binance Coin (BNB) Price & Charts
- Market Capitalization And Daily Trading Volume
- Current Market Price Of Every Cryptocurrency Relative To USD (And Some Local Currencies)
- Circulating And Total Supply
- Historical Charts With Prices Relative To USD, Bitcoin (BTC), And Ethereum (ETH).