Best way to buy BNB Binance

Binance Coin (BNB) is a cryptocurrency that was created by the Binance exchange. It can be traded on the Binance exchange and other cryptocurrency exchanges that support BNB. To trade Binance Coin as a CFD (Contract for Difference), you will need to use a broker that offers CFD trading on cryptocurrency markets. In this article we will find out what Binance Coin is, how it works and how we can trade it.

You must first understand the basics of Binance Coin if you are looking for information on "how to acquire Binance Coin?". Binance Coin, commonly known as BNB Coin, served as a utility token for the Binance Exchange when it was initially introduced as an ERC-20 token on Ethereum. Early applications of Binance Coin included access to the launchpad and reduced trading fees. Binance also revealed a buy and burn mechanism for each quarter. Under this mechanism, Binance burns and redeems BNB tokens with 20% of its quarterly revenue.

The Binance exchange has maintained the expansion of use cases for its cryptocurrency over the next few years, including credit card payments, travel bookings and use as loan collateral. BNB was transferred to the new Binance Smart Chain (BSC) in 2020, where it currently operates as the chain's native asset. On BSC, all gas fees are paid in BNB.

The native asset of the Binance ecosystem is Binance Coin (BNB). Therefore, the performance of the Binance Exchange and the Binance Smart Chain directly affects its price. You may wonder if Binance Coin is a profitable investment. First of all, you should know that since the coin's ICO in July 2017, it has already created a return of 197.553%.

However, the coin had declined by 43% by 2022 due to the continuous bear market of cryptocurrencies. However, if you have faith in its fundamentals and mission, the current decline can be a fantastic long-term buying opportunity.

In terms of cryptocurrencies, Binance is now a titan. Within months of its launch, it surpassed all other cryptocurrency exchanges in terms of size and has since maintained that position. However, the leading exchange is facing strong opposition from other industry titans like Coinbase. A comparison of Binance and Coinbase's volume statistics reveals that Binance has six times the trading volume of its American rival.

The price of BNB Coin and the price of bitcoin are directly correlated, much like most other cryptocurrencies. This truth came to light in 2017, when the price of bitcoin hit all-time highs. In December 2017, a flood of individual investors pushed the price of bitcoin above $20,000. The value of the majority of cryptocurrencies skyrocketed due to their pairing with bitcoin on exchanges. In just five months, the price of Binance Coin has increased 168-fold from its $0.15 price at ICO, reaching an all-time high of $25.20 in January 2018.

BNB's price peak in late 2017 can be seen in the chart above. But when the price of bitcoin entered a bear market in 2018, Binance Coin also fell rapidly and hit new lows of $5.50 in February.

BNB was trading slightly around $26.90 in February 2020, just before the global financial markets crashed as a result of the global gridlock caused by the pandemic. The price of the Binance coin fell to a low of $6.40 in March 2020, demonstrating that it was, like other assets, sensitive to fluctuations in the state of the global economy. Conventional and stock markets began to thrive again in the third quarter of 2020, and the price of BNB followed.

As the FED continued to inject liquidity into the markets in the fall of 2020, the price of bitcoin began to soar again. As a result, BTC surpassed $20,000 in December and continued to reach new highs. Many institutions joined the crypto markets in addition to ordinary investors. As a result, the crypto markets received a huge injection of new money, which sent the price of cryptocurrencies soaring to all-time highs. Investor interest in Binance Coin has increased throughout this period, as the platform has provided many new services to its users.

The price of Binance Coin soared to its 2021 highs of $691.80 in May 2021, representing a 10,709% price increase from its March 2020 lows. However, due to heavy selling pressure, the price could not stay above $500 for very long.

The price of bitcoin peaked at $69,000 before it began to fall again. The price of the Binance coin has been steadily dragged down by the persistent downward trend. The coin's current price of $294 represents a 58% decline from its peak of $691.80 in May 2021. This association also implies that bitcoin's price movement will influence any future predictions of the Binance coin.

The evolution of the price of BNB coins is significantly influenced by their supply in circulation. The maximum amount of Binance Coin at launch was 200,000,000 coins. However, 35,906,976 coins were burned as a result of a quarterly redemption plan. As a result, there are only 164,093,023 coins in circulation.

There are several methods of gaining exposure to the native asset of Binance Coin, BNB, if you are wondering where to acquire Binance Coin. These include CFDs, futures contracts, and cash markets. If you have a long-term view, cash exchanges like Binance, FTX and Kucoin can be useful. On the other hand, if you're a trader and simply want exposure to the volatility of BNB's price movement, CFD brokers like Plus500 might be a better option.

Contracts for Difference available on Plus500 use a concept called "margin" to allow you to increase your position size with relatively little cash. You don't actually own cryptocurrencies when you trade CFDs; instead, you make predictions about the movement of the underlying price. For this reason, these investments are perfect for those who have little cash to begin with. The fact that you don't have to store or maintain the assets on a blockchain is another advantage of leveraged products like CFDs.

1. How does the Binance Coin work and what is it? Binance Coin (BNB) is the native cryptocurrency of the Binance exchange. It can be used to trade for other cryptocurrencies on the Binance platform, as well as to pay for transaction fees on the exchange. Binance uses a portion of its profits to buy back and "burn" BNB tokens, which reduces the overall supply and increases the value of remaining tokens. Additionally, users can receive discounts on trading fees when they use BNB to pay for them. The Binance Coin can be stored in Binance's official wallet, Trust Wallet and other ERC-20 compatible wallets.
2. What factors influence the value of Binance Coin? Like most other cryptocurrencies, the price of Binance Coin moves with the price of Bitcoin. However, it also depends on network activity and adoption statistics. Significant news and network improvements can have an impact on costs.
3. How do I buy or start trading Binance Coin? By using a reputable CFD broker like Plus500, you can trade Binance Coin. Additionally, you can buy it on cryptocurrency exchanges like Binance, FTX, Kucoin, etc.
4. How can I best trade Binance Coin? CFD trading is the best method to gain exposure to Binance Coin. This is due to their ability to provide "margin", or the ability to hold a much larger position with only a small amount of cash.
5. How much does it cost to start trading Binance Coin? There are no prerequisites of any kind. Most cash marketplaces allow investments as low as $10. CFD trading also allows you to increase the size of your stake.