What Is Binance Coin?

Binance Coin (BNB) is the cryptocoin that Binance, the trading platform, issues. At the time of writing, Binance Coin was the fourth largest cryptocurrency by market cap falling short only to Bitcoin, Ethereum, and Cardano.

Binance and Binance US have faced regulatory challenges both in the United States and abroad, yet remains for now, one of the largest crypto trading platforms in the world.

Note: Effective August 2021, Binance US is no longer offering trades on it’s platform. International users are still permitted to make trades on the Binance platform which differs from Binance US. Now I didn’t tell you to do this, but I have heard stories of people who have used VPNs and other techniques to mask location in order to retrieve funds or to make trades. Again, I do NOT ever condone nor encourage this behavior . . . I’m just saying there are people who have done this or do this. Like anyone at your job or the bar who says they are buying Ripple but that’s another article.

Please keep in mind that trading is only prohibited on Binance US platform, you may still own, buy, sell, and hold the Binance Coin. At the time of writing, trading of Binance Coin is still permitted in the United States.

What Is Binance Coin?

Binance Coin was launched in 2017 and like Cardano, was issued through an ICO (Initial Coin Offering). Binance Coin was originally set up to operate off of the Ethereum blockchain but has since switched to the Binance chain.

What Does Binance Coin Do?

Binance Coin operates as a currency and is used for payments on the following:

-Transaction fees on Binance.com, Binance DEX, and Binance Chain.

-Payments (at places like Crypto.com, Monetha, and HTC);

Travel accommodations

TravelbyBit, Trip.io, and Travala.com)

-Entertainment purposes (virtual gifts, card packs, lotteries)

-Online services (BitTorrent, Canva, Storm)

-Financial purposes

-Loan at ETHLend

-Make investments at Moeda

Regulatory Concerns In The United States

Binance is actually set up as a business in the Cayman Islands, not the United States, which tbh is not that big of a concern for this writer. Many financial groups are incorporated outside of the US. Even Burger King is incorporated in Canada because the tax laws are more favorable to their business model.

At the time of writing, Binance is under investigation by both the Internal Revenue Service as well as the Justice Department.

Is it because Binance has done some shady shit? That I cannot answer but I personally believe it has more to do with the fact that the returns of Binance Coin have outpaced gold, silver, and idk the entire stock market.

Should You Buy Binance Coin?

As with any investment we look at together, it is always best to make your own decision or consult your personal advisor.

The most appealing part about Binance Coin is the sheer number of uses it has to facilitate transactions combined with it’s tight market cap.

Analysts predict that Binance Coin will be valued at triple it’s current value within the next ten years. Because remember, investors, stocks are domestic. Crypto is global. Just because the United States is investigating does not mean that the cryptocoin cannot make gains with it’s international investors (see: Ripple aka XRP).

Binance Coin Final Thoughts:

My personal recommendation after consulting my crypto advising team (yes I have one, they are all young hot men not joking sometimes it’s great to be me):

If you are currently sitting on Binance Coin: Hold

If you are considering a long term gain: Buy

If you are looking to flip crypto: Avoid