Deep Dive
1. Purpose and uses
BNB is used to pay transaction fees when people interact with apps on BNB Chain. Holders can also stake BNB, meaning they delegate or commit tokens to help support network operations, and participate in governance. BNB may also provide benefits on Binance, such as trading fee discounts. (BNB Chain)
2. Technology and ecosystem
BNB Chain includes BNB Smart Chain, which supports smart contracts—programs that run on a blockchain—and decentralized applications. It is compatible with the Ethereum Virtual Machine, so developers can use familiar Ethereum tools. opBNB is a Layer 2, a network designed to handle transactions more efficiently alongside the main chain; BNB Greenfield provides decentralized data storage. (BNB Chain overview)
3. Origins and supply
BNB launched in 2017 as a token offering benefits on Binance, then became the native coin of BNB Chain. Its supply is reduced through periodic Auto-Burns and a mechanism that burns some transaction fees. The stated long-term supply target is 100 million BNB; burns reduce supply but do not guarantee any particular effect on its value. (BNB Chain token guide)
Conclusion
BNB is both the transaction and participation token for a blockchain ecosystem, with additional uses on Binance. How much will its role depend on activity across BNB Chain’s different services?
