Crypto Academy part 1 - Homework Post for [@yohan2on]

Greetings,
It feels good to know that CryptoAcadamy is back to work with the goal of educating us on cryptocurrency. Thanks to @yohan2on for taking his time to explain to us what Altcoins are. With much research done on that, am ready to submit my homework task on that.

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What Is Binance Coin?

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Binance Coin is a cryptocurrency endowed by Binance exchange, and BNB is it's trading symbol. Binance coin administer on the Ethereum blockchain with the ERC 20 standard, and also has a firm limit of highest 200 million Binance coin tokens.

Why Was Binance Coin(BNB) Invented?

Binance coin(BNB) has been developed to certify the cryptocurrency platform and power up its operations to set up a sustainable ecosystem. The coin can be used for a whole lot of aims including paying the exchange fee, listing fee, trading fee, or any other bills that a customer may incur on the exchange. During the 1st year, Binance presented a 50% trade discount which would lower by half every next year with a discount ending from the fifth year.

Binance coin can also be used for initial exchange offering(IEO) investments that are lined out in the Binance's Launchpad portion. These various new currencies will then be numbered out on the Binance crypto exchange, granting them with a full-featured trading center for trading. Having a native currency will bring down the dependency on ordinary money which can lead to delays and additional charges which also put an additional financial load on the end-user. This token, BNB gives out a flawless experience while allowing users to save funds on trades.

What Are the Benefits(Advantages) of Binance Coin(BNB)?

1. Faster Transactions; If you're using Binance coin (BNB) to swap on the exchange, you'll have entry to the platform's exclusive matching engine which can hold up to 1.4 million orders per second. You can always discover the appropriate. trade, and using BNB makes it even more faster and reliable.

2. Trade various Cryptocurrencies; When using Binamce coin (BNB), you will be able to trade beyond 150 cryptocurrencies on the exchange relying on a faster, more secured and cheaper trade matching system. Besides all that, BNB also acquire its own trading pairs to meet your particular trading requirements. You do not have to look anywhere else.

3. Secured and Trustworthy; Binance already has large indefinite of cryptocurrency customers and traders who depend on the platform and trust the exchange's security and shielding features. The exchange rely on a multi-cluster and multi-tier structure framework and Secure Assets Fund for Users (SAFU) to keep your transactions safe.

4. Spending Binance Coin (BNB); Besides from a seamless experience within the Binance system and trade fee discounts, you can also use Binance coin(BNB) in many other ways. It is clearly accepted by a lot of service providers, precisely in the travelling and hospitality sector. You can buy your meal with BNB even a new house.

Disadvantages of Binance coin (BNB)

Investing into Binance Coin(BNB) can be a dangerous venture and comes with certain downsides. Knowing the disadvantages of investing in Binance coin(BNB) is important to aid you determine if purchasing this crypto is the correct move for you. Below are some cons of investing in Binance coin;

1. Discounts pursue to decrease: However Binance gives out discounts to traders who does transactions with Binance Coin(BNB) on the exchange, discounts continue to go down, which can be unpleasant. According to the BNB's whitepaper, in the fourth year, the discount will be lowered further to 6.75% - which surely will happen in the year 2021.

2. BNB is limited to the Binance exchange: Binance coin(BNB) is really depending on the Binance exchange’s esteem, which can stop it from taking flight by it self. In addittion of all that, some customers have shared varied reviews about the customer support services given by Binance (other times noticeable by long delays and no phone support given).

3. Binance has just allowed fiat deposits and withdrawals just recently: Far from other platforms that recieve traditional payment proceedures, involving PayPal and bank transfers, Binance did not use to accept fiat transactions (deposits or withdrawals). This was really making it impossible for beginners to start trading cryptos in the crypto space.

How Safe Is Binance Coin(BNB)?

Binance coin(BNB) is built on the Ethereum blockchain, which makes use of the cryptographical encryption to avoid data violation and interference. Since blockchain is decentralized, there's no one central pivot that can be hacked to access the data.

Besides that, the Binance cryptocurrency exchange is a dependable name in the crypto platform with its security characteristics which add more safety layers to keep your private information and funds secured. These involve a two-factor authentication and SSL certified encryption. You can also use wallets to keep your Binance coin (BNB) safe.

How to buy the Binance coin?

1. You will have to start by creating a Binance account. source

2. At the top-left conner of the menu, you'll see a 'Buy Crypto' menu.

3. From the drop down menu, select payment method. You can use credit/debit card. You can also choose to swap with other cryptocurrencies.

4. You will be taken to a page where you'll have to fill out a form such as the amount and your card.

5. When done, hit the 'Buy Crypto' button and that's it.

In conclusion, looking at the advantages and disadvantages of Binance coin(BNB), according to me, the coin won't be in good shape in the near future. This is because it's discount will be reduced significantly later this year.

Thank you!