BNB was initially launched on the Ethereum network, but since then it has migrated to its own Binance Chain network. This is the fifth-largest cryptocurrency in the world and is used as a utility token for different Binance projects and other DeFi projects. This token was launched during the ICO in 2017. In total there were 200 million BNB tokens when the project was launched but Binance performs BNB burns regularly which has decreased the max supply of the token to 165 million. At the time of writing this guide 1 BNB trades for $258 with a market capitalization of $42.1 billion. At its peak, BNB was trading for $675; ever since then, it has shown volatility going up and down. 

"Trust is earned over long periods of time, through consistent positive actions." - Changpeng Zhao

BNB can be used to pay transaction fees on the Binance exchange and Binance Chain. It can also be used as a payment method on different platforms, it can be used to purchase digital gifts, and even gives users the ability to take out loans. 

Since BNB is a native token for Binance, it might seem a no-brainer to purchase BNB anywhere else. If we look at the token as a whole, it might be true, but when it comes to some individual aspects, considering other exchanges than Binance might be a better option. Different exchanges offer different services, different fees, and different benefits. Because of this, there might be different exchanges that offer lower fees for purchasing BNB, have higher margins, and other benefits. Because of this, we need to analyze different stuff before making a final decision on where to purchase BNB.

Choose an exchange

The first step we have to take is to choose which exchange is best for us in terms of our preferences. For some security might be important for others it might be fees. Each exchange might offer different services to those who live in different parts of the world. Each exchange can also have a different utility for BNB. Because of this, we have to choose which exchange is best for us carefully.

There are also decentralized exchanges that take out third-party services. For those who want full decentralization, these exchanges will be the best option.

Open an account and pass verification

Once we select which exchange fits our preferences we will need to open accounts and pass identity verification. These are centralized exchanges that are being regulated by government bodies which makes it required for new users to pass verification.

Here we will be asked to provide legit government documents displaying our identity. These documents could be IDs, Passports, and Driving licenses. 

Deposit funds and buy BNB

Once our account is verified we can deposit funds and acquire BNB. These deposits can differ from fiat or cryptocurrencies. Some exchanges might offer better options for buying BNB using credit/debit cards. While some might fall sort in that category, they might offer better options for purchasing BNB using other cryptos.

Acquire Crypto Wallet

One last step we have to take is to make ourselves a crypto wallet. This is not mandatory, and you can just keep BNB on the exchange you purchased it at. But for some security and full control might be important, and crypto wallets guarantee that security. These wallets are fully under our control and impossible to hack.

So now we know that there are different aspects associated with purchasing BNB but which exchanges are best in those aspects?

eToro - Best exchange for low fees

When it comes to eToro they don’t have any fees when depositing money on the exchange. This exchange is also beginner-friendly to newcomers who are trying to learn about cryptos. Having this feature does not mean that experienced traders will be handicapped as eToro provides many different tools and features that are hidden from newcomers and easily accessible to experienced ones. All you have to do to buy BNB here is place a buy order for at least $10.

But how exactly do you do that?

Create an account

When opening an eToro account, the process we have to follow is so easy that it will take only a few minutes. While registering we will be given different signup options. We can create an account using an email address, Facebook, Google, and Apple accounts. When setting up an account using an email address you will need to provide your email and come up with the username and secure password. You will then need to confirm the link sent to your email and your account will be open and ready for verification.

Verify your account

The next step to be able to purchase BNB on eToro is to verify your identity. eToro at the first stages of verification takes basic data from you such as first and last names, date of birth, and address. Alongside that, you will be asked about some general information about yourself, such as your occupation, average income, trading budget, and so on. After this, you will need to provide your government-approved identity verification documents, such as your ID or Passport. Once our verification is submitted eToro tells us that the verification process might take up to 3 days but it is usually done within 24 hours.

Buy BNB

After eToro verifies our account we will be ready to acquire BNB. We can find BNB by going to the Discover page and selecting the Crypto option presented to us. There we will see the Trade option for BNB and once we go there we will see the Buy button and here is where we can purchase BNB. We will be given different payment options to buy BNB and the selection will depend on the country we reside in. But any fiat deposit option such as Credit/Debit cards and bank transfers have 0% fees on eToro. Also, for some BNB might not be available on eToro and it will also depend on the country of residence.

Cex.io - Beginner-friendly exchange to buy BNB

When joining the crypto world navigating your way through the exchanges might be hard for some. Because of this, there are exchanges that have built their websites where newcomers will have an easy time understanding all of the relevant information. Cex.io is one of those exchanges where newcomers will have an easy time getting started and purchasing BNB. When joining Cex.io all of the relevant information such as fees is really well displayed. There are also different exchanges that offer a user-friendly interface but Cex.io also provides transparency and you can find out everything about the exchange in a fast manner. This is one of the best places to purchase BNB for those who are not familiar with exchanges and alongside purchasing BNB wants to learn different aspects of the exchange. This is also one of few exchanges that offer PayPal payments for European customers.

Create an account

Creating a Cex.io account should not take more than 2 minutes. When creating an account we will need to enter our email address, password, and country of origin. After this, we will receive a confirmation code in our email and we have to finish registration by entering that code as the last step.

Verify your account

Before we can verify our account we need to turn on 2FA by linking our mobile number to our account. After this, we can upload our identification documents to get verification. The first step for verification is to provide information about the location of our residence. 

After this information is submitted we will be able to upload identification documents such as ID or Passport and wait for Cex.io to verify our identity. This usually takes 1-2 hours.

Buy BNB

After our verification is complete we will be able to easily purchase BNB. We will see the Spot Trading option at the top menu when we hover over it we will see the Instant Buy option and here we can easily purchase BNB. There we can select how much BNB we want to purchase and follow-through using the payment method of our choosing. We can use payment methods such as Visa and Mastercard payments, bank transfers, and even PayPal.

Currency.com - The best exchange that offers a high margin for BNB

Margin trading, also called leverage is a trading strategy that increases your buying power. When margin trading you are borrowing BNB from the exchange to be able to make big purchases and increase your potential profits. Currency.com provides really good margin trading for BNB. Here you can trade with leverage of up to 1:500. What this means is that for every 1 BNB you deposit currency.com will match it with 500 BNB for you to trade and earn profits with. This is a risky strategy and is only fitted for those who know what they are doing. So how should we get started on Currency.com?

Create account

To start on Currency.com at first you simply need to provide your email address and password and create an account. But this is not enough to buy BNB and start leverage trading.

Verify your identity

When we create our account we still need to verify our identity in order to be eligible for trading. When verifying at first we will be asked to provide information such as our nationality, country of residence, first and last name, and date of birth. We will also be asked to provide our address of residence and phone number. After this, just like most exchanges, we will need to provide identification documents to pass verification and be able to purchase BNB.

Buy BNB

When the verification process is complete and limitations on our account are lifted we can deposit funds and start trading BNB. We will see a big Deposit button at the top menu. Here we can either deposit money using traditional methods such as credit/debit cards and bank transfers, or we can deposit crypto we already have in a personal wallet or different crypto exchange.

When you purchase BNB on one exchange it does not mean that this exchange is best for keeping our newly acquired tokens. There are exchanges that are not best fitted for purchasing BNB but have significant advantages when it comes to different aspects of the token. Because of this, it is important to consider different exchanges and wallets to keep our BNB.

Binance - Best exchange to store our BNB

This is a no-brainer. BNB is a native token for Binance and purchasing BNB on eToro might be cheaper because fees are absent there. But when it comes to storing and using BNB there is no exchange better than Binance. Binance offers the best staking APYs on BNB, they have BNB trading pairs with almost every crypto available on the exchange. You can also directly swap BNB for any crypto using Binance Convert. When holding BNB on Binance you also benefit from discounted trading fees. Also, you can use BNB for other Binance services such as the Binance NFT marketplace. 

Create a Binance account

If we want to hold BNB on Binance and use the advantages offered to us, we need to open a Binance account. When registering on Binance we will need to enter our email address and come up with a strong password. Then we will receive a confirmation link on our email and once we confirm the registration account will be open, but we will still have one more step to take.

Verify your identity

If we want to unlock all features on Binance we need to pass KYC verification. For this verification, we will be asked to present basic information about ourselves. This information will include our first and last name, date of birth, and residential address. After this, we have to upload our identification documents and wait for Binance to verify our identity. This process usually takes 1-2 hours but Binance notifies us that it might take up to 2 days.

Get BNB

If you bought BNB on a different exchange and want to transfer it to your Binance wallet you can do it easily. To do so, we have to go to Wallet Overview from the top menu. There we will be asked which token we want to deposit and which network we will be using for this. Make sure that you indicate the correct network because if you send it through using a different network, your funds might be lost. When we input everything we will be given a crypto address to which we have to send BNB and once the blockchain confirms the transaction BNB should appear in our wallet. 

If you prefer to directly purchase BNB on Binance as you like the services they provide, you can do so by pressing the Buy Crypto button at the top menu. There you will be given different payment options and can easily purchase BNB with just a few clicks.

Ledger - Cold wallet to keep BNB

If you just want to hold onto your BNB and don’t plan to use it for anything, storing them in a cold wallet is the best option. Cold wallets are the most secure crypto wallets as they are completely off the grid and impossible to hack. Ledger is one of the best cold wallet options for BNB, and we can purchase it from their website and Amazon.

If you are looking to invest in crypto, you should consider investing in BNB 100%. First of all, this is a native token of the biggest crypto exchange in the world. It is unlikely that you will make big losses by the BNB value falling, but even if that happens holding BNB gives you many different advantages when using Binance. It has a high APY, gives trading fee discounts, it is started to be used as a payment option by many businesses, and many more. So if you don’t want to stop on BNB and Binance is the exchange of your choice, investing in BNB will make your trading experience really pleasant on Binance. Almost every token on Binance has BNB paring since it is their native token.

Also unlike some other tokens, BNB has quarterly burns. This makes BNB a deflationary token. Every quarter, Binance takes 20% of the profits they made and uses them to burn BNB. They buy back the BNB worth 20% of their profits and send them to burn crypto wallets where no one has access to the tokens. So if you believe that Binance will grow even bigger, BNB will 100% increase its value as the supply of tokens will be lower each year until they stop this burning process.

"We are the industry leader, so we expect to be targeted. But we need to stand tall as an industry and stand together." - Changpeng Zhao

Pros and Cons of investing in BNB