BNB was launched through an ‘initial coin offering in 2017, 11 days before the cryptocurrency exchange Binance came online. It was originally released as an ERC-20 token running on the Ethereum network, with a maximum limit of 200 million coins and 100 million BNBs offered in the ICO (initial coin offering). However, ERC-20 BNB coins were exchanged for BEP2 BNB in a 1:1 ratio in April 2019 with the launch of the Binance Chain mainnet, and are now no longer present on Ethereum.
BNB can be used as a payment method, a utility token to pay fees on the Binance exchange, and for participation in token sales as an initial launch of Binance. BNB also powers the Binance DEX (decentralized exchange).
Can you mine BNBs?
It is not possible to mine BNBs as you would with a proof-of-work cryptocurrency system, as the Binance blockchain uses the Byzantine Fault Tolerance (BFT) mechanism. Conversely, there are validators who gain from protecting the network by validating blocks.
What is a Burnt BNB?
Before BNB migrated to Binance Chain, Binance performed coin burns on the Ethereum network using a smart contract burn feature. The amount of coins Binance burns is based on the number of exchange transactions in three months. Since the launch of the Binance Chain, BNB coin burns no longer happen on the Ethereum network and now use a specific command on Binance Chain, as opposed to a smart contract.
How can you buy BNBs?
You can buy BNBs on the Binance cryptocurrency marketplace with a wire transfer or bank transfer, a credit card or debit card, or any other marketplace that offers cryptocurrency.