Changpeng Zhao started Binance, a cryptocurrency trading platform. After rising Chinese regulation endangered the firm's operations, the company moved to the Cayman Islands, where it had been headquartered originally.
With its wide range of trading pairs and minimal costs, Binance swiftly became one of, if not the biggest cryptocurrency exchange trading platforms in the world. Subsequently, additional KYC (Know Your Customer) safeguards have since been implemented, the site's original absence of KYC requirements was also tempting to certain users.
With an initial coin offering in 2017, Binance introduced its Binance Coin (BNB) on the Binance Coin blockchain (ICO). 10% of the supply was sold to angel investors, 40% was given to the founding team, and the remaining 90% was made available to everyone else.
By using this token, users may pay transaction and trading fees on Binance at a discounted rate than they would if they used another kind of token.
Token “burns” are a strategy used by Binance, in which the company repurchases BNB using the proceeds of token sales before burning (destroying) the new BNB.
In 2019, the coin was transferred to a new native blockchain from the Binance Coin network. Finally, they were relocated once Binance announced its Smart Chain.
A new DeFi platform called BSC was unveiled by Binance in September of 2020 and debuted a month later in April of the following year. It aimed to provide a substitute to Binance Coin and other top Decentralized Financial Infrastructure platforms.
Over time, Binance Coin's infrastructure became overburdened, resulting in delayed transactions, huge fees, and the near-impossibility of transmitting anything under $100 without perfect timing.
Those who could not pay Binance Coin's fees began using alternative smart contract platforms, notably BSC, which quickly surged in popularity.
Before users purchase Binance Coin, they need to note the following about the process involved:
- To purchase Binance Coin, users need a trading account either with a crypto broker or a cryptocurrency exchange trading platform.
- When users deal with a centralized exchange such as Coinbase, they need to complete a KYC process.
- To buy and sell crypto, users need a reliable internet connection that has low latency.
- Users need a crypto wallet that is compatible with BNB, allowing them to store their funds.
- Users need a trusted payment method to pay for their Binance Coin.
- There may be transaction fees involved when buying or selling Binance Coin.
- Users will receive a private and public key, and they must keep their private key safe because it is like a PIN or a password.
- If the private key is lost and users do not have a recovery phrase or a backup, they will lose their funds.
- Keeping funds in offline storage is the best way to keep funds safe.
- Cryptocurrencies are inherently volatile, and price changes can be quick and drastic, which could work against or in favor of the trader.
- Cryptocurrency is subject to tax, and users must declare their profits and losses for tax purposes.
In terms of what users must consider before they buy Binance Coin, the following can be noted:
- BNB may be used to lower trading costs and generate income for Binance consumers. But the Binance currency is not the sole application for it. The Binance Smart Chain, a programmable blockchain that executes smart contracts, is also powered by this coin.
- Binance is one of the most well-known cryptocurrency exchanges, thanks in part to the huge variety of cryptocurrencies and services it offers. In contrast, a Binance branch in the United Kingdom has just been banned from the country. Binance has left Ontario, Canada, after an assault on other exchanges, after warnings from Japanese officials that it is not permitted to operate there.
- More than 2,000 people work in Binance's locations throughout the globe, although the company has no central location. This is per the company's belief that crypto should be a global phenomenon. Cryptocurrency firms do not need to adhere in the same way as conventional companies, such as having an office or a bank account, to be considered legitimate.
- In 2020, Binance acquired CoinMarketCap, a renowned cryptocurrency statistics site. Both businesses are self-contained. However, Binance's exposure to individual investors may expand in the long term if it acquires a site with millions of users.
In terms of buying methods, Binance Coin can be purchased using bank accounts, debit cards, credit cards, and several other payment methods.
To purchase Binance Coin, you must follow these steps:
- Evaluate and choose a Binance Coin Exchange Trading Platform that suits your unique objectives and needs.
- Connect your payment option to the exchange and transfer funds.
- Analyze the price of Binance Coin and wait for the opportune moment to enter the market.
- Perform a buy order on Binance Coin
- Store your funds in a safe, secure wallet.
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1. Choose a Binance Coin Exchange Platform
There are a few key elements to consider while shopping for a crypto exchange. Here are a few we suggest you check into before picking one:
- Because not every country or state provides access to every cryptocurrency exchange, double-check that the exchange you chose is accessible where you reside before signing up.
- Different exchanges provide varying levels of security and insurance coverage.
- Understand the exchange's fees before deciding which one to use to buy and sell digital currency.
- There may only be a limited number of coins available at some exchanges.
- Many exchanges come with a native crypto wallet offering to assist you to keep your investment safe
Aside from regular cryptocurrency exchanges, there are a few more possibilities for investors who want to become involved in the cryptocurrency market.
Venmo, Paypal, Cash App, and Robinhood, a mobile stock trading platform, have just added the ability to purchase and sell cryptocurrencies to their services.
If users are starting in buying crypto and do not want to deal with working out how a cryptocurrency exchange works, some experts suggest these applications might be a simple option.
However, it may be more difficult to move the cryptocurrency from one of these sites to a wallet address, making it less secure for investment if users purchase it on one of these platforms.
In fact, unlike conventional exchanges, where users can transfer their cryptocurrency holdings from platforms like Venmo and PayPal, users cannot move their cryptocurrency holdings from any platform at all.
Common mistakes that users make when they evaluate and choose an exchange include the following:
- They do not conduct thorough research, and they choose an exchange that is not suited to their objectives or needs
- They fall for a scam because they do not validate the exchange
- They deposit all their funds into the native wallet of the exchange, which makes it vulnerable to hacking
- They do not ensure that the security features of the exchange are adequate
- Users do not educate themselves before they start trading
Several crypto exchanges offer users access to buy, sell, and exchange Binance Coin, including:
- FTX Exchange
2. Choose a Payment Option Buying Binance Coin
It is necessary to link a payment option when users have successfully registered with a Binance Coin crypto exchange trading exchange or platform. It should be noted that various exchanges accept payments using a variety of techniques.
Subsequently, when selecting an exchange, it is important to evaluate the payment options that are available to save on costs while also ensuring the ease of money deposits.
Users must also remember that not all crypto exchanges accept deposits in fiat, and therefore they may need to register with an exchange that does. Once registered, users can purchase Tether (USDT) from this exchange, enabling them to purchase Binance Coin from crypto-only exchanges.
On exchanges that offer fiat currency deposit options, users have a choice between various payment options, including:
- Bank Accounts
- Credit/Debit Cards
- PayPal and other electronic payment gateways
In addition to the ease of depositing cash quickly and securely, selecting the appropriate payment method has many other advantages as well. By selecting a comfortable payment option, consumers may deposit their cash fast and conveniently and begin purchasing Binance Coin on the exchange.
Common mistakes that users make during this step are:
- Not researching the payment processing and transaction fees.
- When traders fail to research the basic operations of the exchange and the payment methods that are provided.
- Falling for scams that pose as legitimate exchanges.
- When users place all their funds in an online wallet or the exchange’s native wallet, these wallets are compromised by a cyberattack because of their vulnerability.
3. Follow the Binance Coin Prices and Analyse them.
Bitcoin (BTC), Binance Coin (BNB), and Litecoin (LTC), to only name a few, are all examples of cryptocurrencies that use price analysis to establish optimum trading tactics and evaluate market sentiment.
Crypto technical analysis is predicting future trends using mathematical indications based on past market activity. The core notion is that markets follow trends and that once formed, trends frequently follow the same path for a long period.
The primary signs are whether the market is bullish with an upward trend or bearish with a negative trend.
Price analysis methods vary and are typically used in tandem to offer a comprehensive view of market circumstances. Traders may use daily candlestick charts to evaluate market sentiment or examine a cryptocurrency's volume vs price.
Price analysis tools and procedures are eventually used to discover micro and macro trends as indications of overall industry development. Traders use candlestick graphs for their intricacy. Instead of one point for each time, candlesticks show four price levels. These are (visually) (top to bottom):
- High Price
- Start price
- Final price
- Low Price
Candlesticks depict this as a bar and two wicks. The high price is at the top of the wick, and the low price is at the bottom. The candlestick's body might be green or red. Red means prices closed lower than expected; green means prices closed higher.
Green candlesticks show the closing and starting prices. Red candlesticks show the initial and closing prices. Each candlestick is analyzed with the surrounding data, providing a thorough view of how traders are buying and selling crypto over time.
The phrases support and resistance relate to price levels that tend to bottom or peak. Traders may utilize these levels to help them make trading choices. Support and resistance: who decides? There are several options. It may be as basic as glancing at a chart and identifying price pullbacks (resistance) or bottoms, where support is concerned.
Traders may utilize these price levels to help guide their trading approach. For example, set stop-loss orders near support and profit-taking sell orders at or above resistance.
Support and resistance levels may be used to anticipate price rollbacks or, if prices continue past them, signal a new trend. If prices continue to rise above resistance, this could imply upward momentum. Likewise, if prices keep falling below the support, they could fall even further.
Traders of all levels love the Relative Strength Index. This indication is a line graph underneath a price chart. The line oscillates between 0 and 100, with 50 as the midpoint. Higher values suggest overbought situations, while lower values suggest oversold conditions.
The RSI, like many other technical analysis tools, works best in combination. A price rise may be more likely if the RSI is below 20 and the price of a cryptocurrency is nearing a well-established support level.
Common mistakes that traders make when they analyze prices on Binance Coin include:
- Not understanding how to read price charts to identify patterns
- Following trends that might end soon
- Not using fundamental and technical analysis in combination
- Only using a single technical indicator and not comparing different metrics or data
4. Perform a Binance Coin Order
When users buy and sell cryptocurrencies such as Binance Coin, they often have access to several order types, subject to the specific crypto exchange or broker that they deal with. These orders are as follows:
- Limit Orders enable customers to specify a minimum or maximum price for buying or selling Binance Coin. If there is inadequate demand or supply for the order, traders will be quickly matched with an existing order. Limit prices must be within 15% of the market price, or they will be rejected.
- Market orders are immediate-or-cancel orders that allow traders to purchase or sell Binance Coin at the best market price available.
- Stop-Loss Restrict/Market Order – This is a risk management tool that allows traders to limit their losses. When traders initiate a position to purchase Binance Coin, they will specify the limit and stop prices at which the order will be filled if the price reaches a certain level, as well as the price at which the order will be closed if the price falls below a specified level.
- Stop-Loss Market/Limit Order – This order type enables a trader to specify the profit level at which they want the order to terminate.
- Bracket orders allow traders to make three distinct orders: one to initiate a trade and two to execute take-profit and stop-loss orders.
The common mistakes that traders make when they trade Binance Coin include the following:
- Not knowing the basics and not using a demo account before trading in a live environment where capital is at risk.
- Falling for the hype instead of conducting thorough research on price analysis.
- Trading without a strategy.
- Failing to read Binance Coin charts.
- Investing large sums into only one type of asset.
- Using leverage incorrectly or abusing it.
- Not using risk management tools such as stop-loss and take-profits
5. Store Binance Coin Safely
To buy and sell Binance coins, users need a crypto wallet that is compatible with BNB. Cryptocurrency wallets keep BNB funds safe and make them accessible, allowing the user to send and receive funds.
There are different types of Binance Coin wallets, namely:
- Hardware Wallets are USB devices that store funds offline.
- Mobile wallets can be downloaded and installed on mobile devices that use iOS or Android.
- Desktop wallets that run on computers.
- Paper wallets that are QR codes printed on physical paper.
- Web-based wallets are an extension to a browser.
- Hot/Cold wallets refer to Online/Offline wallets.
Common mistakes for this step include:
- Only using a hot or online wallet
- When users do not keep their private key safe, or they forget their recovery phrase.
- Forgetting the seed phrase.
- When users keep large amounts of funds in an online wallet, or they trust an exchange to take care of funds.
- Using unverified wallets or wallets from unknown sources.
- Not using enough security features to secure the wallet.
Hardware and offline wallets are the best options overall, while hot and other wallets are best for small transactions and payments.
How to understand which Binance Coin Storage is safer
A Binance Coin wallet refers to a software application or a physical device (hardware wallet) where private keys are held to access funds. When users install or access a crypto wallet, they are given a private key that works like a password, giving them access to their BNB funds.
In terms of the types of Binance Coin wallets, users can distinguish between the following:
- Cold Wallets – which are offline wallets that store funds in an application that is not connected to the internet.
- Hot Wallets are online applications that require an internet connection.
- Physical wallets are physical devices that can resemble external hard drives or USB devices where crypto funds are kept in cold storage.
- Web wallets are web browser ad-on wallets.
- Desktop wallets – which are applications that allow users to manage their finds on macOS, Microsoft Windows, or Linux.
- Paper wallets which is a piece of paper with a code or QR code on them. To access the assets, the user enters the key or scans the code to access their account.
The Best Binance Coin Wallets are:
- Ledger Nano S
- Ledger Nano X
- Trust Wallet
- Guarda Wallet
1. Ledger Nano S: The Ledger Nano S is a hardware wallet designed to offer complete safety for cryptocurrency. It looks to be a USB disk connected to the user’s laptop or PC through a USB cable.
The Ledger has two side buttons and an OLED display for transaction validation. Additionally, a cryptographic method has been introduced to confirm the device's legitimacy when switched on.
2. Ledger Nano X: The Nano X is the latest generation of Ledger's renowned line of ultra-compact, pocket-sized hardware wallets. It is a hardware wallet device that supports a variety of cryptocurrencies. It was succeeded in 2016 with the introduction of the Ledger Nano S.
LedgerSAS, which develops solutions for the security of digital assets including Bitcoin, Binance Coin, and others, is one of the most prominent hardware wallet companies in the world.
3. Trezor: Trezor was the first Bitcoin hardware wallet to be designed and is well-known for its advanced security features that protect BNB coins from both virtual and physical theft.
Trezor is one of the best hardware wallets for Binance Coin for users who value security. Trezor is a little device with buttons and an OLED display that connects to a computer through USB. Both Google Chrome and Trezor Bridge provide access to and management of crypto funds.
4. Trust Wallet: Trust Wallet is completely decentralized and provides a simple mobile application and currency management tool that enables users to manage all their private keys simultaneously.
Traders can hold most digital currencies on the market indefinitely because several blockchain projects and independent blockchains accept them.
Trust Wallet is a simple-to-use mobile wallet application for storing and managing all Binance Coin-based assets. The wallet is available for free download on the Google Play and Apple App Stores.
5. Guarda Wallet: Guarda wallet was created to offer easy, secure, and convenient crypto storage. Guarda is a non-custodial, multi-asset wallet that enables users to store a diverse variety of digital assets.
What are the ways of buying Binance Coin?
You can purchase Binance Coin in the following ways:
- Debit Cards
- Bank Account
- Credit Card
- P2P Exchanges
- Low Fees
1. Buying Binance Coin with Debit Cards: When users purchase Binance Coin with a debit card, they use the card that is linked directly to their bank account, given that their card type supports online purchases.
Advantages of using a debit card to purchase Binance Coin include:
- Fast and secure transactions
- Instant transaction execution
- Assistance in retrieving funds if anything goes wrong
Disadvantages of using a debit card to purchase Binance Coin include:
- High transaction and processing fees
- Security risk if the information is saved online
In terms of legal issues, exchanges that accept payment in debit cards will require that users complete a KYC procedure as part of anti-money laundering procedures.
Buying with a debit card is safe if you use a legitimate cryptocurrency exchange that uses SSL technology to encrypt client data and information.
2. Buying Binance Coin with Bank Accounts: When users purchase Binance Coin with a bank account, it involves a bank transfer from their bank account into their exchange trading account or broker account. Once funded, they can use the trading account to purchase Binance Coin.
This will only work with exchanges that accept fiat currency. Exchanges that are crypto-to-crypto do not accept fiat deposits. The user must first convert their fiat to crypto, for instance, USDT, which can then be used to purchase Binance Coin.
The benefits of buying a Binance Coin with a bank account involve the fact that bank transfers are some of the most secure ways to transfer funds. With a bank transfer, there are no chargebacks, and the processing fees are lower than with credit/debit cards.
The disadvantages of buying Binance Coin with a bank account are:
- Transaction processing time is longer than other payment options, between 24 hours up to several days.
- Bank Accounts are not an anonymous way to purchase Binance Coin, and transactions can be traced.
Where legal issues may arise regarding bank account purchases of Binance Coin, users must ensure that they have a verified trading account, either with an exchange or a broker. This may involve completing the KYC process as part of AML policies.
Bank Accounts are one of the safest options to purchase Binance Coin alongside credit or debit cards, given that the user makes use of a legitimate and verified exchange and regulated broker.
The cryptocurrency market is a financial market that is not regulated because of its decentralized nature. This means that traders, crypto enthusiasts, and investors may struggle to find the necessary support that they need if they run into issues with an exchange or a broker.
3. Buying Binance Coin with Credit Cards: This process is the same as buying Binance Coin with a debit card. The user must provide their credit card details to purchase Binance Coin through an exchange that allows for fiat payments.
The advantage of using a credit card to purchase Binance Coin is that transactions are carried out faster. The disadvantage of using credit cards to purchase Binance Coin relate to high transaction and processing fees, strict KYC policies, and security issues with a credit card and personal information that can be stolen.
The legal issue involved with buying Binance Coin with a credit card is that hackers can access the credit card information of the user, and it can lead to a significant loss. Credit cards are not a recommended payment method because there are cheaper, more secure ways to buy Binance Coin.
4. Buying Binance Coin via P2P Exchange: Binance Coin can be bought from a peer-to-peer cryptocurrency exchange that offers over-the-counter (OTC) trading of Binance Coin between users.
These exchanges allow users to create a posting that others can respond to. When using a P2P exchange, users can be assured of the following advantages:
- There are strict AML and KYC policies that protect all users
- Users on the exchanges have ratings and trust scores
Disadvantages of purchasing Binance Coin using a P2P Exchange include:
- P2P exchanges are not always decentralized, and they do not always offer anonymous transactions.
- Malicious entities can use and exploit these exchanges for personal gain.
In terms of legal issues, these P2P Exchanges are not always regulated, and malicious activity is not eliminated.
5. Buying Binance Coin via Cash: Binance Coin can be purchased with paper money through exchanges such as eToro, Bitstamp, Kraken, KuCoin, and many others that allow users to purchase Binance Coin directly.
There are also P2P exchanges that accept fiat payments for Binance Coin.
The advantages of using cash to purchase Binance Coin include:
- It is a straightforward way to purchase Binance Coin
- It is a secure way to purchase Binance Coin
Disadvantages of purchasing Binance Coin with cash include:
- There are higher transaction fees
- Users may not get the best possible price, depending on market conditions
- There are time-consuming verification processes involved with buying Binance Coin with cash
6. Buying Binance Coin with Low Fees: Buying Binance Coin with lowered fees can be done by using an exchange such as Coinbase, which has some of the lowest fees in the industry.
The advantages of buying Binance Coin at lower fees include:
- The ability to trade higher volumes
- The ability to use leverage to maximize returns
The disadvantages of buying Binance Coin at lower fees include:
- The exchange may charge other non-trading fees to gain its service fee
7. Buying Binance Coin with Metamask: Metamask is a cryptocurrency wallet in addition to being a gateway to different DApps. Metamask allows users to buy, store, swap, and send different tokens.
The process involved with buying Binance Coin through Metamask is simple, and users can select the “buy” option from their mobile app to obtain a link to a service provider in the user's location and proceed with the transaction.
The advantages of using Metamask to purchase Binance Coin include:
- It is an open-source project that is reputable and trusted
- Private keys are encrypted and kept on the browser of the user
- Metamask is user-friendly
- Metamask can be used to easily access the Binance Coin blockchain
The disadvantage of using Metamask to purchase Binance Coin include:
- Metamask is a hot/online wallet that has some security risks
Some issues with regards to security and legalities revolve around the fact that Metamask is an online wallet and the fact that private keys are kept by the provider on the browser. This could lead to hacking attempts where users can lose their keys, funds, or both.
What are the necessities for buying Binance Coin?
Before buying Binance Coin, the following is necessary:
- A Binance Coin compatible wallet
- Connection to a Binance Coin exchange or a broker that offers Binance Coin
- Completing registration and passing the security checks, which need identity documentation (Driver's license, passport, government ID, and so on, as well as proof of residence such as a utility bill or credit card statement that is not older than 3 months).
- A valid payment method, either a debit or credit card, Paypal account, bank account, or so on.
Is there an age limit for buying Binance Coin?
No, there is no age limit for buying Binance Coin.
There are no restrictions on age when purchasing Binance Coin. However, many exchanges such as Coinbase and payment gateways such as Paypal require that users be 18 years or older.
What are the best cryptocurrency platforms to buy Binance Coin?
The best cryptocurrency platforms where Binance Coin can be purchased are:
- FTX Exchange
1. Binance: With minimal transaction fees, Binance is a prominent and respected cryptocurrency exchange that facilitates transactions from one cryptocurrency to another in the crypto-to-crypto space. More than 150 cryptocurrencies are available for trading and exchange on the Binance platform.
Binance provides users with lightning-fast and powerful trading tools, as well as a full trading education and in-depth market research.
2. Bithumb: Bithumb is a South Korean cryptocurrency exchange that was founded in 2014. They offer innovative technology solutions to meet digital trading objectives, making the exchange user-friendly and convenient for everyone.
Bithumb is a cryptocurrency exchange where traders may trade a variety of cryptocurrencies. According to volume, it is among the world's leading cryptocurrency exchanges. They want to use their knowledge of blockchain technology to become the future leaders of the digital finance revolution.
3. KuCoin: KuCoin is a big cryptocurrency exchange that allows users to buy, sell, and trade a variety of different cryptocurrencies. Additionally, the platform provides margin and futures trading as well as peer-to-peer (P2P) trading.
Staking or lending your cryptocurrency may also earn you incentives. KuCoin's minimal trading costs make it an appealing alternative to some of its rivals.
4. FTX Exchange: FTX is a popular crypto trading platform and a derivatives exchange offered in the United States for traders looking to leverage their exposure to digital currencies.
The platform distinguishes itself from rivals by providing a diverse range of indices and leveraged tokens that can be exchanged on the futures or options markets.
Do Forex Traders sell Binance Coin?
Yes, forex traders sell Binance Coin.
- Forex Traders have the opportunity of purchasing Binance Coin at a lower price and selling their tokens once the price peaks, either long-term or within a trading day (day trading).
- Forex Traders buy Binance Coin and hold their coins until the value has risen, after which they sell their Binance Coin to make profits.
- Forex Traders use algorithmic trading strategies to buy Binance Coin at the ideal time and sell it automatically according to certain technical indicators.
What are the Buying Methods for Binance Coin?
Binance Coin can be bought using the following different methods:
- Credit/Debit Cards
- Bank Account
- P2P Exchanges
When users trade Binance Coin, there are several different orders that they can use when they buy Binance Coin through exchanges and brokers. These follow certain buying/selling strategies, and they relate to:
- Limit Buying
- Leverage Buying
- Market Orders
- Take-Profit Order
1. Stop-Loss for Binance Coin Buying: Stop-Loss orders are extremely important for traders, especially when mitigating and managing risks in a volatile market. A stop-loss order is like a limit order because it is an order that executes automatically to either buy or sell Binance Coin at a specified price or better.
Stop-loss orders have some potential risks because they may guarantee a price limit, but they cannot guarantee that the trade will be executed. Stop-loss orders can prevent future gains, incur taxes, trigger taxes, and could lower the profit threshold of traders.
Stop-loss orders are ideal for beginners if they are used correctly.
2. Limit Buying Order for Binance Coin: A limit order refers to an order to either buy or sell Binance Coin according to a restriction to the maximum price that must be paid or the minimum price that must be received.
The risk involved with Limit orders is that there is no assurance that the order will be executed. Limit orders are best used when the trader believes that they can buy Binance Coin at a lower price than the current quote.
Beginners can use limit orders to save money on commissions that their broker or exchange charges, especially on liquid coins such as Binance Coin.
3. Leverage Buying for Binance Coin: Leverage is a useful tool that is considered a loan where the trader can open larger positions despite their initial deposit. In return, the broker or exchange requires a certain percentage as collateral for the trade.
Leverage ratios offered by brokers and exchanges on Binance Coin will not be as high as those offered with forex. This is attributable to the inherent risks involved with leverage.
Binance Coin can be traded using a leverage ratio of 1:1, 1:2, and even up to 1:5 and 1:10, depending on the exchange or the broker.
The risk involved with using leverage when purchasing Binance Coin is that loss can be magnified. Traders can clear out their entire account, or their account could go into a negative number.
Leveraged trading on Binance Coin is not recommended for beginners until they understand the risks and they can mitigate and manage them effectively.
4. Market Orders for Binance Coin: Market orders can be used when traders purchase Binance Coin instantly at the current market price instead of waiting for a better price. Market orders are executed instantly or as close to instantly as possible.
The risks involved with purchasing Binance Coin using a market order involve agreeing to the exchange or broker filling the order at what is considered the best possible price, which limits traders because they could be agreeing to higher prices.
Market orders can be used by beginners with great caution. Beginners must analyze the market to identify what the best price is to avoid them paying a higher price than they would have using other orders.
5. Take-Profit Orders for Binance Coin: Take-profit orders are another risk management tool that allows traders to maximize their profits without risking funds. The Take-profit order is above the purchase price chosen by the trader, and when the price on Binance Coin reaches this predetermined limit, the trade will be closed.
The risks involved with these orders is that traders might set them too high/low, and it could mean that the trader either loses out on gains, or they may cause loss.
Beginners are urged to use Stop-loss and Take-profits in combination to ensure that they can maximize their profits while minimizing their risks.
What are the alternatives of Binance Coin?
These are the competitors of Binance Coin:
- Crypto.com (CRO)
- KuCoin (KCS)
- FTX Exchange Token (FTT)
- UNUS SED LEO (LEO)
- OKB (OKB)
1. Crypto.com (CRO): The native cryptocurrency of the Crypto.com crypto exchange is CRO. Crypto.com is a decentralized crypto exchange (DEX) and an open-source blockchain.
Crypto.com Chain is an extremely innovative and comprehensive solution that is included Crypto.com's portfolio of products. These products and services are aimed at accelerating the worldwide use of cryptocurrencies as a method of enhancing personal control over the money in addition to preserving user data and ensuring users' identities. The CRO blockchain is used to support the Crypto.com Pay mobile payment application.
2. KuCoin (KCS): KCS is KuCoin's native currency. KuCoin was established in 2017, and it is a profit-sharing digital token that enables traders to benefit from the exchange's value. It was released as an Ethereum-based ERC-20 token and was supported by the vast majority of Ethereum wallets.
KCS has a set overall supply of 200 million KCS, and there are repurchases as well as burns scheduled until the supply is reduced to 100 million KCS.
Eventually, once the KuCoin decentralized trading solution becomes operational, KCS will serve as the native asset for KuCoin's decentralized financial products as well as the KuCoin community's governance token.
3. FTX Exchange Token (FTT): FTT is the native cryptocurrency token of FTX, which debuted on May 8, 2019.
The team behind FTX is made up of some of the most successful crypto traders over the last few years, who chose to build their platform after encountering challenges with the most popular crypto futures exchanges.
FTX asserts that it is unique owing to features such as clawback protection, centralized collateral management, and global stablecoin settlement.
4. UNUS SED LEO (LEO): The UNUS SED LEO utility token is utilized throughout the iFinex ecosystem. The unique moniker is derived from a Latin verse from one of Aesop's stories.
Bitfinex customers can save on trading costs by using cryptocurrency. The level of the discount is determined by the amount of LEO in the customer's account — and the savings are divided into three categories. There are differences in price between crypto-to-crypto and crypto-to-stablecoin trading pairs.
Due to the token burn mechanism, iFinex is committed to monthly purchasing back UNUS SED LEO from the market. The amount bought and burnt represents at least 27% of iFinex's earnings — and tokens are also acquired at market value.
5. OKB (OKB): OKB is a cryptocurrency that was created by the OK Blockchain Foundation in collaboration with the Maltese cryptocurrency exchange OKEx. OKEx is a large and reputable crypto exchange that is positioned third in terms of overall liquidity and fourth in terms of trading volume and offers a diverse range of trading pairs.
OKB is the OKEx crypto exchange's utility token, which grants users access to the exchange's unique features. The currency is used to compute and pay trading fees, to provide users access to the platform's voting and governance, and to incentivize users for holding OKB.
Why should you invest in Binance Coin?
Binance coin (BNB) could be a fantastic option if you are looking for an alternative to Bitcoin or Ethereum. BNB is the Binance exchange's utility token, as well as the Binance.US exchange. Additionally, it functions as a utility token for the Binance Smart Chain (BSC).
Traders utilize BNB to pay for trading expenses, and they obtain a 25% discount by doing so. Binance far outperforms the other exchanges in terms of 24-hour volume and weekly visitation. If you feel that the Binance environment will continue to grow, expanding the use cases for BNB, this is optimistic for the BNB price.
If the Binance ecosystem continues to develop, providing more use cases for BNB tokens, price appreciation should follow. Additionally, the ongoing burning of BNB coins should contribute to the price increase. Thus, BNB remains a solid medium- to long-term investment.
How to sell Binance Coin
Binance Coin can be sold in the same way that users purchase Binance Coin, namely:
- Credit/Debit Cards
- Bank Account
- P2P Exchanges, and others.
Selling Binance Coin is different from purchasing because the trader is converting their Binance Coin for either fiat currency or other cryptocurrencies. The reasons why users sell them Binance Coin relate to:
- Having reached a certain profit target
- According to selling signals that were triggered, indicating the perfect time to exit a trade.
- According to stock chart patterns that signal price volatility and repetitive patterns, showing that a trend is about to end.
- According to Fibonacci ratios and geometric price patterns.